Mad Catz

January 06, 2005 06:30 ET

Mad Catz Sees Record Quarterly Sales; Expects Fiscal 2005 Third Quarter Net Sales to Exceed $50.0 Million, Over 20% Ahead of Comparable Period Last Year


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: MAD CATZ

AMEX, TSX SYMBOL: MCZ

JANUARY 6, 2005 - 06:30 ET

Mad Catz Sees Record Quarterly Sales; Expects Fiscal
2005 Third Quarter Net Sales to Exceed $50.0 Million,
Over 20% Ahead of Comparable Period Last Year

SAN DIEGO--(CCNMatthews - Jan 6, 2005) -

Mad Catz to Report Fiscal 2005 Third Quarter Results on February 8th

Mad Catz Interactive, Inc. ("Mad Catz") (AMEX/TSX: MCZ), the world's
leading third party video game accessory provider, announced today that
it expects net sales for its fiscal 2005 third quarter ended December
31, 2004 to be in excess of $50.0 million, an increase of more than 20%
over the comparable period last year.

Mad Catz attributed the strong fiscal 2005 third quarter revenue growth
to the success of several new products including MC Groovz Dance Craze,
the Company's first video game release and the first dance game on the
GameCube™ platform; licensed bundles featuring characters from the
hit Disney/Pixar movie "The Incredibles"; a line of MicroCON™
wireless controllers for Playstation®2, Xbox® and GameCube; and a
full line of accessories for Nintendo's very successful Nintendo DS™
handheld gaming system. In addition, Mad Catz' wireless products
performed strongly and the Company continued to expand its distribution
in Europe.

Darren Richardson, President and CEO of Mad Catz Interactive, Inc.,
said, "One of our goals this fiscal year has been to add new revenue
streams while leveraging the existing infrastructure. Our fiscal third
quarter revenue growth demonstrates that we are making tangible progress
against this goal.

"We are pleased with our fiscal third quarter sales performance given
the video game industry challenges this holiday selling season,
including hardware shortages. We have announced several additional
exciting new product opportunities for the new year, including a range
of iPod® accessories and licensed NFL controllers. Our revenue growth
this holiday season with newly introduced products, our projected
upcoming product introductions and our full range of core accessory
offerings, combined with strong industry position and deep retail
penetration, support our optimistic view of Mad Catz' future prospects."

Mad Catz will release its fiscal 2005 third quarter financial results
before the market opens on Tuesday, February 8th and will host a
conference call and webcast that morning at 11:00 a.m. EST. To access
the conference call by telephone, interested parties may dial
888/243-1681 (212/676-5293 for International callers). A replay will be
available through February 10th, 2005 by dialing 800/633-8284 and
entering access code (21225813). Participants can also listen to a live
webcast of the call through the Investors section of Mad Catz's website
at www.madcatz.com. A webcast replay will be available for 60 days
following the live event.

For the conference call, please call five minutes in advance to ensure
that you are connected. Questions and answers will be taken only from
participants on the conference call. For the webcast, please allow 15
minutes to register and download and install any necessary software.

About Mad Catz

Mad Catz (www.madcatz.com), designs, develops, manufactures, and markets
a full range of high quality, competitively priced accessories for video
game systems and is an integrated publisher of interactive entertainment
games and software, including the industry leading GameShark brand of
video game enhancements. Mad Catz is a worldwide leader of innovative
peripherals in the interactive entertainment industry, with distribution
through most leading retailers offering interactive entertainment
products. With operating headquarters in San Diego, California, Mad Catz
has offices in Canada, the U.K. and Asia, as well as distributors in
Europe and Australia.

Safe Harbor for Forward Looking Statements:

This press release contains forward-looking statements about the
Company's business prospects that involve substantial risks and
uncertainties. The Company assumes no obligation to update the
forward-looking statements contained in this press release as a result
of new information or future events or developments. You can identify
these statements by the fact that they use words such as "anticipate,"
"estimate," "expect," "project," "intend," "should," "plan," "goal,"
"believe," and other words and terms of similar meaning in connection
with any discussion of future operating or financial performance. Among
the factors that could cause actual results to differ materially are the
following: the ability to maintain or renew the Company's licenses;
competitive developments affecting the Company's current products; first
party price reductions; the ability to successfully market both new and
existing products domestically and internationally; difficulties or
delays in manufacturing; delays in the Company's ability to obtain
products from its manufacturers in China as a result of the current
slow-down at the shipping ports in Southern California; the Chinese New
Year holiday; market and general economic conditions. A further list and
description of these risks, uncertainties and other matters can be found
in the Company's reports filed with the Securities and Exchange
Commission and the Canadian Securities Administrators.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Mad Catz Interactive, Inc.
    Cy Talbot, 619-683-9830
    or
    Jaffoni & Collins Incorporated
    Joseph Jaffoni / Purdy Tran, 212-835-8500
    mcz@jcir.com