It's where the movie hits come to play -- on PCs and game consoles, that is. By licensing some of the hottest movie products, Santa Monica-based Activision posted record revenues and earnings in its 2005 fiscal year, ended Mar. 31. Profits hit $138 million, up 78%, on a 48% increase in sales, to $1.4 billion. Behind those numbers were a slew of smart partnerships: Deals with Dreamworks and Marvel churn out brand-name hits like Shrek, Spider-Man, and Madagascar, which Activision turns into games for PCs, Microsoft's Xbox, and Playstation 2.
Add in its home-grown Tony Hawk skateboard franchise that has produced $1 billion in sales, and Activision has become a potential acquisition target for entertainment giants looking to diversify into the fast-growing video-game industry. The only bump in an otherwise smooth year: Company insiders spooked investors earlier this year by selling off stock en mass, but the company's lineup of brand name properties is a key to future growth as the industry begins its periodic change to faster, better, and more sophisticated game consoles.
All figures are for the most recent available 12 months.
* Latest available data for the 12-month period ended Dec. 31, Jan. 31, Feb. 29, Mar. 31, or Apr. 30. For companies that do not report quarterly, the most recent annual data were used.
Data provided by Standard & Poor's Compustat, BusinessWeek
Activision Inc. publishes interactive entertainment software products. It maintains a portfolio that spans various categories and markets, and that is used on various game hardware platforms and operating systems. Its products cover game categories, such as action or adventure, action sports, racing, role-playing, simulation, first-person action, and strategy. The company offers its products primarily in versions that operate on the Sony PlayStation 2, Nintendo GameCube, and Microsoft Xbox console systems, Nintendo Game Boy Advance hand-held device, and the personal computer. Activision’s publishing business involves the development, marketing, and sale of products directly, by license, or through its affiliate label program with certain third-party publishers. Its distribution business consists of operations in Europe that provide logistical and sales services to third-party publishers of interactive entertainment software and manufacturers of interactive entertainment hardware. The company has operations in the United States, Canada, the United Kingdom, Germany, France, Italy, Japan, Australia, Sweden, and the Netherlands. Activision was incorporated in California in 1979 and is headquartered in Santa Monica, Calif.
No. of Employees
1,324
Data provided by
Robert A. Kotick
Bio
Robert Kotick has been the Chairman of the Board and Chief Executive Officer of Activision, Inc. since February 1991. Prior to Activision, Mr. Kotick was Chairman and Chief Executive Officer of Four Kids Entertainment Inc., a public company in the licensing and merchandising business. He was also a founder of International Consumer Technologies and acted as its President, as well as a Director, from its inception in 1986 to January 1995. Mr. Kotick currently serves on the Board of Directors of Yahoo. He is also a member of the Board of Trustees for The Center for Early Education and the Los Angeles County Museum of Art.
