GameStop reveals latest financial results

Game retailer GameStop revealed its latest financial results for its last fiscal quarter earlier today. GameStop's revenues for the quarter (which ended July 30) came in at $1.74 billion, which was down from $1.80 billion from the same period a year ago. Individual store sales were down 9.1 percent for the quarter, which GameStop blamed in part on lower sales of game consoles along with a software lineup that had less titles available on sale compared to a year ago. The company had a net profit of $30.9 million for the quarter, which was lower than the $40.3 million in profit GameStop recorded from the same period a year ago.

The five best selling games for the quarter were the adventure-action game LA Noire, the first person shooter Brink, the fighting game Mortal Kombat, the open world action game inFAMOUS 2 and the sports game NCAA Football 12. The news wasn't all bad for the company. GameStop also reported that sales of pre-owned games went up 12 percent. This was despite the fact that more retailers like Best Buy are getting into the pre-owned game business. Finally, GameStop reported much higher sales on the digital front. Revenues went up 69 percent which was higher than GameStop's previous expectations.

GameStop expects revenues to increase in the latter half of 2011. CEO Paul Raines said, "Through the back half of the year, we expect industry software sales to accelerate based on an exciting title line-up. Meanwhile, the digital and loyalty programs we have brought to market continue to gain traction with consumers and position us as a leading partner with publishers."

 

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16 Comments

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Dont particularly like Gamestop.. Only really buy used games from them if the price is good enough where I dont have to order online.

I just hate the fact that there are no other major game selling retail chain stores around the US... They have a bit of a lock on that sector. And forget Best Buy used games section, its very limited and the pricing is horrible. Will never buy from them either.

este said,
Dont particularly like Gamestop.. Only really buy used games from them if the price is good enough where I dont have to order online.

I just hate the fact that there are no other major game selling retail chain stores around the US... They have a bit of a lock on that sector. And forget Best Buy used games section, its very limited and the pricing is horrible. Will never buy from them either.


Let me begin by stating that I am a Best Buy employee and currently run a gaming department within one of the stores.

The used game selection is starting to pick up as we take in more trade-ins. The pricing is definitely better than Gamestops and our trade-in payouts tend to be, at least, 10% higher. The one problem, right now, is finding those niche titles. Gamestop still excels at carrying those hard to find Naruto games and such.

I am not surprised at all. Here in Canada the new games have been completely overpriced for a long time now. There has not been a game released in the last 20 years that is worth the $59.99 (or $69.99 depending on the title). Charge a reasonable rate for the game and watch sales increase. No game new should be over $39.99 and no used game over $29.99.

I do not download games I just wait until they are less then $30 because sooner or later all titles are dirt cheap that way.

smartin0115 said,
Hah, just wait. November is gonna explode in the way of sales. Skyrim!!!

+1 !!! I'm re-playing Oblivion right now

it will probably pick up once school starts again.. i really dont know where they are going to go when xbox and ps3 will have sweet online stores and windows 8 will have an appstore as well as steam..

KZWings said,
I'm surprised they didn't blame piracy.

They sell games and not movies or music, so that's out of the question for them.

Edited by ACTIONpack, Aug 19 2011, 6:34am :

KZWings said,
I'm surprised they didn't blame piracy.

certainly it cant be teh fault of game developers not releasing many good titles all year thus far. Everyone i know is just waiting for a good, quality, finished upon release game...and no one is really doing it right now.

ACTIONpack said,

They sell games and not movies or music, so that's out of the question for them.


So, you are saying you can only pirate music and movies and not games?

ACTIONpack said,

They sell games and not movies or music, so that's out of the question for them.

So piracy cannot be done on games??? Are you serious?? the PS3 hack which released this year have boosted piracy a lot.. Just search for ps3 games and you find a lot now.... also PC games can be pirated easily...