Dallas, Texas 03/25/2014 (FINANCIALSTRENDS) – GigaMedia Limited (NASDAQ:GIGM) 4Q projection are now enthusing the market. The company released its prelim results for the company’s 4Q operations on the 21 March. The good-tidings that this announcement conveyed had sent the company stock coasting north to post the 9.5% rise over the previous day’s close. The revenue for the quarter is projected to settle at $3.4M, which will translate into an 11% drop in comparison to the 4Q12 numbers. The company’s prelim revenue is in-line with its guidance that has been provided for that quarter during the 3Q earnings call. This revenue dip has now been linked to its coming to end of the popular gaming title -A.V.A.
It is also linked to the continued drop in demand for its P.C-based games in the last few quarters. This decrease reflected its end of the operations in Dec of the game-A.V.A & its continued drop in its contributions from the PC-based casual games, and was partially offset by the new contributions from its cloud computing business in its fourth quarter. Laying out its huge strides that GigaMedia Limited (NASDAQ:GIGM) has made in the last few quarters, the Chief Executive Officer & Director of the company, Collin Hwang has now been quoted to have stated that they have made very great progress in the year 2013 in building the new businesses and in strategically positioning themselves for strong, and long-term growth.
They refocused from the PC-based games to browser/mobile & social casino games & launched the new cloud-computing business. The momentum is also building. The company’s cloud business reported the 1st game. Looking ahead, Hwang disclosed that he will now be prioritizing increasing the number of online games that are released on a weekly-basis and will concentrate GigaMedia Limited (NASDAQ:GIGM)’s execution capabilities in bringing-out additional cloud-based solutions.