NEWS - Wednesday, July 7, 2004
Game Group Expects Second Half Pick-Up
Same-store sales at Game Group fell 14 percent in the first 22 weeks of its financial year, but the video games retailer says it expects a satisfactory outcome for the full year. The sales decline in the 22 weeks to July 3 was partly due to the effect on comparisons of the release of Gameboy Advance SP in the comparative period last year. New software releases for this year were scheduled for the second-half, Chairman Peter Lewis said in a statement ahead of the company’s annual general meeting. However, gross margins improved by over 150 basis points. "Game remains confident that the software release schedule in the second half of the year, which typically accounts for around two thirds of our annual turnover, is very strong," Lewis said on Wednesday. A reduction in the price of the PlayStation 2 and Xbox consoles in the autumn would also stimulate demand, he said. Game GMG.L , which operates 580 stores and franchises throughout Europe, said it continued to evaluate opportunities for further expansion. Game shares stood 5.5 percent higher in early trade at 53-1/4 pence.Source: http://www.reuters.com
