GameStop: Traditional Sales Down, Digital and Pre-Owned Sales Up

August 18, 2011 -

GameStop this week reported sales and earnings for the second quarter ended July 30, 2011. While store sales of traditional boxed software and hardware declined, the company found a silver lining with better-than-expected digital sales and pre-owned sales. Total sales for the second quarter of 2011 were $1.74 billion, a decrease of 3.1 percent compared to $1.80 billion in the prior year quarter. Total company comparable store sales were -9.1 percent, impacted by lower hardware sales and a lighter software title releases than the prior year quarter. While new hardware and software underperformed, pre-owned sales increased 12 percent and digital sales increased 69 percent, exceeding quarterly expectations.

The top five selling games during the quarter were L.A. Noire by Rockstar Games, NCAA Football 12 by Electronic Arts, inFAMOUS 2 by Sony, Brink by Bethesda Softworks, and Mortal Kombat by Warner Home Video Games.

Net earnings were $30.9 million compared to $40.3 million in the prior year quarter. GameStop continued spending on its strategic initiatives during the quarter. Diluted earnings per share were in-line with guidance at $0.22 compared to $0.26 in the prior year quarter. The strength of the pre-owned business and growth in digital channels led to gross margins of 31.2 percent, an increase of 250 basis points and the company’s highest margin rate in five years.

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Re: GameStop: Traditional Sales Down, Digital and Pre-Owned ...

Translation for those who think Gamestop is losing money: Instead of making $40.3 million, they made $30.9 million.

This, in fact, is NOT losing money. This IS, however, STILL making a fuckton of money.

 
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Wonderkarpif I had the money, I'd buy one of those expensive proton pack replicas11/22/2014 - 11:25pm
Wonderkarpthats the wii version though. the PS3/360 version is far superior.11/22/2014 - 11:19pm
Andrew EisenOdd that there was no hose connecting the thrower to the backpack. Was there just no more horsepower left in the Wii to animate it? And did seriously no one on the dev or QA team notice the Ghostbusters patch on the player's sleeve was backwards?11/22/2014 - 11:17pm
Andrew EisenI played it one the Wii and rather liked it.11/22/2014 - 11:15pm
Neo_DrKefkaGhostbusters on the PS3 and Xbox is Ghostbusters III for me. It was a short but wonderful experience.11/22/2014 - 11:13pm
Andrew EisenGhostbusters is my number one but the other films in my top 5 are Blues Brothers, Nightmare Before Christmas, Little Shop of Horrors (the Frank Oz one) and Jaws.11/22/2014 - 11:05pm
Wonderkarpso interesting info about that blocklist I'm on https://pbs.twimg.com/media/B3GOLniCUAAnHbP.png11/22/2014 - 10:54pm
Wonderkarpspeaking of game swag, went to a GTAV midnight release at a gamestop. I was getting WWE2k15. First in line so I got 2 free posters and a free Los Santos Sherrif hat that doesnt fit my head. Still sits proudly on a shelf11/22/2014 - 10:34pm
Wonderkarpno pics though cause I'm going to be moving soon hopefully so I'm not too keen on working on it, other than buying some stuff.11/22/2014 - 10:33pm
WonderkarpGhostbusters, Alien, and Aliens make up my top 3 favorite films. Its not a Coincidence that Sigourney Weaver is my favorite Actress11/22/2014 - 10:31pm
Andrew EisenIf you do build a game room you're proud of, do post pics.11/22/2014 - 10:31pm
Andrew EisenGhostbusters! My favorite movie.11/22/2014 - 10:21pm
Wonderkarpthough not strictly games. I have Lightsabers mounted on the wall, and on a shelf you'll see the Infinity Gauntlet, the Ocarina of Time, a Sith Holocron, and some of my Ghostbusters Props11/22/2014 - 8:57pm
Wonderkarpswag of all kinds, Andrew. I'm trying to build a game room as impressive as AVGNs nerd room. I'm also trying to build a coffee table/storage space shaped like a NES Controller11/22/2014 - 8:55pm
E. Zachary KnightI need new controllers for my Gamecube. Its not everyday you can get brand new 1st party controllers.11/22/2014 - 8:51pm
Andrew EisenPredominately figurines or swag of all kinds?11/22/2014 - 8:37pm
WonderkarpI would like a new gamecube controller....but I also just like gaming swag....11/22/2014 - 8:32pm
Andrew EisenI'm just waiting to buy a new Gamecube controller for my Gamecube.11/22/2014 - 7:15pm
Wonderkarphttp://kotaku.com/smash-bros-gamecube-adapters-sold-out-online-prices-g-1662162871 Smash Bros Gamecube adapter sold out, online prices go nuts11/22/2014 - 6:50pm
Andrew EisenI bet there's a lovely comedy of errors surrounding that list's journey to the IGDA's page!11/22/2014 - 6:49pm
 

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