7th Level Records Loss for Recent Fiscal Quarter

7th Level reported its results for the quarter ended March 31: Net revenues were $4.2 million, yet the company posted a net loss of $6.5 million. This compares to revenues of $4.4 million for the same quarter last year, and a net loss of $4.9 million at that time. As a result, 7th Level has said it will develop a new strategy and focus on its financial goals, noting that a "major transition" is underway.

The company instituted a "cost-reduction program" in mid-1996, which the company says has helped reduce overhead expenses.

Sales of HeliCops and G-NOME contributed to company revenues. Titles 7th Level has in production include Dominion, which was expected to ship in June but has been delayed; Monty Python's The Meaning of Life, now set for a fourth-quarter release; and Return to Krondor and The Gatherer, which don't yet have release dates. 7th Level is also in the process of completing a series of interactive Barney titles for Microsoft.