GAME pre-owned sales grow to £177 million

Second hand games were the highlight of GAME's six months to July 31, pulling in GBP 177.3 million in sales and accounting for over a quarter of all revenues for the period.

Total group sales for the period were down 7 per cent to GBP 690.8 million, compared to GBP 742.6 million in 2008, with like-for-like sales down 16.3 per cent. Profit was in-line with expectations at GBP 14.5 million.

"We achieved year on year growth in pre-owned sales, which increased 12.3 per cent and now account for 25.7 per cent of total sales," said chairman Peter Lewis.

"In our online business we increased revenues by 12.1 per cent. Our Reward Card membership has increased by over 1 million customers since the start of the year to more than 13.3m," he added.

The company also noted that total sales for the 33 weeks ended September 19 were down 8.8 per cent and like-for-likes down 16.6 per cent.

Lewis said that recent price cuts are helping the market grow in the run up to Christmas, and the company is optimistic of a successful festive period, despite uncertain times.

"In the second half, the installed base of third generation consoles will continue to build. The recent manufacturer price reductions on the Microsoft Xbox 360 Elite and Sony's new model PlayStation 3 are helping to stimulate the market for hardware.

"The retail environment continues to be tough. In uncertain times, our brand loyalty and our unique specialist proposition have never been more important. This, combined with our strict cost disciplines, the record console installed base and strong software line-up, means we remain optimistic for the key Christmas selling period."