THQ 2005 Annual Report Download - page 58

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35
•the release of a significantly higher number of SKUs infiscal 2004 as compared to the twelve
months ended March 31, 2003; and
•the higher installed base of all hardware platforms compared to the same period last year.
The following table details our net sales by territory for fiscal 2004 and the twelvemonths ended March 31,
2003 (unaudited) (in thousands):
Year Ended March 31, Increase/
2004 2003 (Decrease) % Change
(Unaudited)
NorthAmerica ............. $ 453,42670.8% $ 358,23376.6% $95,193 26.6%
Europe.................... 161,857 25.2 95,380 20.466,477 69.7%
Asia Pacific. ................ 25,563 4.0 14,034 3.0 11,529 82.2%
International ............... 187,420 29.2 109,414 23.4 78,006 71.3%
Consolidated netsales ....... $ 640,846100.0%$ 4 67,647 100.0% $ 173,199 3 7.0%
North America
North America net sales increased by 27% from $358.2 million in the twelve months ended March 31,
2003, to $453.4 million in fiscal 2004. The increase in North America net sales forfiscal 2004 as compared
to the twelve months ended March 31, 2003, was due to:
•the strong performance of the following the mass-market titles, which drove NorthAmerican sales
in fiscal 2004: Disney/Pixar’s Finding Nemo , SpongeBob SquarePants: Battle for Bikini Bottom, WWE
SmackDown!: Here Comes The Pain for PlayStation 2, WWE™ Raw™ 2 for Xbox, WWE
Wrestlemania X9 for GameCube, and Sonic Advance 2for Game Boy Advance; and
•a higher installed base of all hardware platforms, which created a larger market for our products.
The key titles released in the twelve months ended March 31, 2003 included WWE Raw on Xbox, WWE
SmackDown Shut Your Mouth on PlayStation 2 and an original property, Red Faction II.
North America net sales consisted of 71% of our total net sales in fiscal 2004 compared to 77% in the
twelve months ended March 31, 2003.
International
International net sales increased by 71% from $109.4 million in the twelve months ended March 31, 2003,
to $187.4 million in fiscal 2004. International net sales in fiscal 2004 were primarily driven by:
•the release on all platforms of Disney/Pixar’s Finding Nemo;
•the success of WWE SmackDown!: Here Comes the Pain for PS2; and
•the release of three titles focused on our international territories—Broken Sword 3for PS2, Xbox,
and PC, and MotoGP 2 and Yager for both Xbox and PC.
Year over year growth of international net sales in fiscal 2004 from the twelve months ended March 31,
2003 was also attributable to the strengthening of foreign currencies, primarily the GBP and the Euro,
which increased reported international sales by $23.5 million or 22%.
For fiscal 2004, international net sales grew to 29% of our total net sales, up from 23% in the twelve
months ended March 31, 2003.