Shares in computer games maker Eidos plc crashed yesterday after a warning that it would be hit hard by the transition to a new generation of gaming platforms, with players unwilling to buy current stocks.

Cyber-babe Lara Croft, star of Eidos' hit Tomb Raider series, faces a tough challenge as she enters the battle zone of platforms such as Sega Enterprises' Dreamcast, Sony's Playstation 2, Microsoft's X-Box and Nintendo's Dolphin.

"The market is constrained by many customers holding out until the next generation of gaming platforms arrives later this year or next year," said chief operating officer Mr Mike McGarvey.

The new more powerful gaming platforms would have a positive impact in the long term, but the transition was likely to lead to a further weakening of current software in the short term.

Second-half operating profits would be significantly worse than a year ago and results for the year to end-March would therefore be substantially below last year, the company said. Mr McGarvey said Eidos was considering cutting the prices of some products.

The company's shares were struck down in early trading, tumbling to half the previous day's close. They ended the day down 37 per cent at 379p, after hitting a low of 295p at one point, their lowest level since February 1999.

Eidos' decision to sell off some of its stake in Norwegian data storage firm Opticom, resulting in exceptional pre-tax profits of around £84 million, will give the company cash to sit on until the next cycle takes off.

For the nine months to end 1999, the company reported operating losses of £11 million (€14 million), compared to a profit of £36.2 million the previous year, on turnover down 16 per cent to £142.6 million.