Dreamworks Animation SKG Inc badly missed estimates for its first quarter profit as expected revenue from home video sales of "Shrek 2" failed to materialize, the company said on Tuesday.

　　The Glendale-based company reported net income of US$45.7 million, or 44 cents per share, compared to a loss of US$25.5 million, or 33 cents per share in the same period last year. Revenue more than quadrupled to US$167 million, compared to US$41 million in the first quarter of 2004.

　　Analysts had expected net income of 58 cents per share, anticipating "Shrek 2" would be as big a blockbuster in home video as was its predecessor, "Shrek."

　　DreamWorks Animation said it earned US$9 million in the first quarter from licensing and merchandise sales related to "Shrek 2," but nothing from home video sales.

　　The company explained that sales of older titles declined for all films in the first quarter, which also effected anticipated sales of "Shrek 2." The better than expected sales in previous quarters was uncharted territory, leading to higher expectations, according to the company.

　　Because of higher sales by retailers, the revenue received by the company's home video distributor was less than the costs incurred.

　　(The Associated Press)