GAME Profits Soar As New Stores Planned

Officials from predominant British specialty video game retailer GAME have announced preliminary results for the company’s full financial year, with profits up more than four-fold to £33 million ($66.1 million), and more than eighty new UK and international stores planned to continue the company’s growth. For the financial year ended January 31st, 2007 the company has revealed an overall operating profit of £33.0m ($66.1 million), up significantly from 2006's £8.2m ($16.4 million), with international operating profits of £6.1 million ($12.2m), up from £1.6 million ($3.2m) the previous year. Sales for the company, which operates 834 stores in 9 countries, rose from £645.1 million ($1.29bn) to £801.3 million ($1.61bn), with like-for-like sales almost quadrupling from £4.2 million ($8.4m) to £16.2 million ($32.5m). The retailer attributed the strong figures to the launch of the PlayStation 3 and a move into the Australian, Norwegian and Portuguese markets. A further eighty new stores are planned for the new year, alongside a further focus on growing the company’s online sales. Chairman Peter Lewis commented of the results: “During the year, the transition from mature technologies gathered pace - the Microsoft Xbox 360 and Sony PSP moved into free supply and we experienced the successful launch of the Nintendo DS Lite and the Nintendo Wii. The Christmas trading period was very pleasing, with strong like for like sales growth of 16% and a total sales increase of 21%." "We have seen a strong start to the year, in what is traditionally a quiet sales period for GAME, thanks to the PS3 launch and hope to continue to build on our success throughout the year," added Lewis.