Sales fell 13% to US$16 million "due to the uncertain and difficult market conditions which continued to affect the sales of the group's products", the company said.
Loss per share clocked US$0.07, compared to earnings per share of US$0.06 previously.
"The group expects no significant change in the market conditions," it warned. "Revenue in this quarter is expected to be comparable to the current level and the group expects to report an operating loss."
Shares of Creative closed at $1.00 on Thursday.