BCI Offsets Profitable Q1 for Navarre6 Aug, 2007 By: Erik Gruenwedel
Navarre Corp., with assets that include DVD distributor BCI, posted first-quarter fiscal 2008 (ended June 30) profit of $5.4 million, compared to income of $600,000 during the same period last year.
Part of the income was attributed to a $3.5 million gain as part of Navarre's $6.5 million sale of its music business May 31 to Koch Entertainment.
Revenue for the Minneapolis-based distributor topped $137 million, compared to $132 million last year.
Publishing units, which include animation distributor Funimation, video game distributor Encore and BCI, saw net sales increase almost 14% to $29.6 million, up from $26 million last year.
Distribution revenue increased to $123.8 million, up from $118.5 million last year.
Funimation said the releases of “Afro Samurai” and “Dragon Ball Z” season sets combined with increased digital sales on Apple's iTunes and Microsoft's Xbox Live Marketplace contributed to the gain.
Games sales of Wheel of Fortune Deluxe, Jeopardy Deluxe, Monopoly Here & Now and Scrabble Champion Edition helped Encore post net sales growth.
Net sales at BCI, which last week said it will relocate its headquarters to Minneapolis, declined an unspecified amount. Navarre said it plans to refocus efforts on BCI as underscored by the move.
“We are pleased with every division's performance in the quarter,” said Cary Deacon, Navarre CEO. “The only exception was BCI.”
Navarre executives will discuss the quarterly results Aug. 7 in a call with investors.