Net loss for the third quarter ended March 31 hit US$41.8 million (S$61.8 million), compared with a net profits of US$3 million in the same period a year earlier.

Revenue was US$83.1 million, down sharply from US$150.3 million a year earlier.

This brings its net loss and revenue for the nine months to March 31 to US$105.7 million and US$380 million respectively.

Mr Craig McHugh, its president and chief operating officer reiterated a statement Creative made on April 3 in saying the global economic downturn has hurt demand for the company's products.

He added that Creative's decision to close or consolidate certain businesses in order to focus on specific markets has also brought down revenue and gross margins.

'We expect the difficult market conditions to remain this quarter,' said Mr McHugh.

'We will continue our efforts to restructure our company as we work to further reduce operating expenses and our operating loss.'

The firm's third quarter results included restructuring charges of $11.2 million.

In March, the firm announced that it was cutting about 300 jobs worldwide, mostly in the United States and Europe.

Read the full report in Wednesday's edition of The Straits Times.