GameStop posts Q1 decline, attributes decreased sales of new and used to aging console market

By Stephany Nunneley

GameStop has released its financial report for Q1 of its fiscal year, which noted a 12.5% decline in new and used games sales, but reported a 23% increase in digital sales.

For the period ending April 28, 2012, revenues were down by 12.2% to $2 billion, compared to $2.28 billion the year prior.

New hardware contributed $348.6 million, or 17.4 %, compared to $432.4 million the prior year. New game sales contributed $731.1 million, or 36.5%, compared to $914.7 million for the same period in 2011.

Profits of $72.5 million, compared to $80.4 million year-over-year, were also reported.

Used games and hardware contributed $619.0 million, or 30.9% of total revenue, compared to $625.0 million in Q1 2011. The firm attributed the decreased year-over-year sales of new and used titles on the aging console market.

Digital and mobile sales were $303.5 million an contributed 15.2% to total revenue. Despite the aforementioned increase in digital sales, revenue for the sector declined compared to the same period’s $309.3 million reported in 2011.

Comments