THQ calls UFC Undisputed 2010 demand "below expectations" coupled with Financial Revisions

At UFC 111 THQ officials talked of the rebirth of the company and how the UFC license was instrumental in their recovery but the rumors of poor sales for UFC Undisputed 2010 are now confirmed as THQ revised their numbers.

THQ said that it now expects its non-GAAP net sales for its fiscal first quarter to be between $155M and $165M, well below the previously expected $190M to $200M in first quarter sales. THQ said that demand for UFC Undisputed 2010 was "below our expectations" and also less than its prior-year results.

THQ's president and CEO Brian Farrell comments on the situation:

 "UFC Undisputed 2010 is a high quality game, with a Metacritic score of 85 per cent, based on the tremendous UFC brand. Pre-orders were up 50 per cent over last year and we saw strong retail and consumer demand for the title coming into launch, resulting in shipments of 2.6m units to date.

Those 2.6 million units are the ones that were shipped to retailers not units bought by the public. That number represents an over-saturation as retailers are discounting the game heavily.

"Unfortunately, total sell through to date has been below our expectations and prior-year results. We will continue to drive demand through a strong marketing campaign and by working with our partners at the UFC, including the upcoming July 4th UFC 116 event featuring our cover athlete, Brock Lesnar.

"While we are disappointed with this financial update, we continue to execute on our plan of bringing quality games to market .Our primary goal in fiscal 2011 was to position THQ for growth in fiscal 2012 and beyond."

Pay attention to what the press at E3 says about Electronic Arts upcoming MMA game and if it plays well (that's a huge IF).

And here's your THQ stock update:

Video game company THQ Inc. (NASDAQ:THQI) lowered its first-quarter guidance, projecting a loss of 30 to 20 cents per share, well below the current consensus view of breakeven. Revenue is also expected to come in below expectations. The company cited lower-than-expected sales of its UFC Undisputed title as well as a strengthening U.S. dollar