Unsurprisingly, 4Kids reported enormous losses, at least on the balance sheets. Q2 revenue was down to $4.4 million, compared to $16.5 million last year. Net loss $13.8 million, compared to a net loss of $5.5 million last year.

$7.25 million of that loss was due to auction rate securities, a risky investment instrument, whose entire industry collapsed in February, 2008. And although $2.6 million worth of Chaotic cards were sold, they are unable to claim most of the revenue from that, because they can only list final sales to consumers, not to distributors, on the balance sheets. (source)

Leapfrog lost $12.2 million, compared to $20.6 million last year, which is an improvement, I suppose. Revenue was down 28 percent to $41.6 million. They’re expecting good third and fourth quarters, however. (source) Leapfrog sells popular educational games.

RC2 actually had profits of $3.3 million, compared to losses of $6.4 million last year’s Q2. Most of that was cost-cutting, however. Revenue fell slightly to $87 million. (source) Thomas the Tank and Bob the Builder games and toys, among other items.