Our thoughts are with everyone affected
Over a third of Mad Catz staff will be let go by the end of April 2017.
Following missed financial targets, the hardware company is expected to save $5 million by cutting 37% of staff.
Despite having its second-highest quarter to date (a 114% year-on-year increase to $65M), net income is down by 10% to $1.2M with the previous nine months chalking up losses of $4.4M.
According to new president and CEO Karen McGinnis, Rock Band 4 sales were “strong” but initial sales forecasts were overestimated.
“Rock Band sell-through was lower than originally forecast resulting in higher inventory balances as well as lower margins due to increased promotional activity with retailers,” said McHinnis.
“Looking ahead, we are confident in our ability to further monetise our diverse range of products and are focused on updating and improving many of our product offerings to better leverage the opportunities we see ahead.”
Maybe charging eleventy gazillion dollars* for each RB4 peripheral dampened sales?
Our thoughts and best wishes to all who’ve been affected by these cuts. <3
* May be an exaggeration
Mad Catz lays off 37% of staff despite “strong” Rock Band 4 sales [VG24/7]
