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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KronoBeyond that you have Patricia Hernandez writing reviews for, and plugging Anna Anthropy's work. Anna being Patricia's friend and former roomate.10/02/2014 - 9:52am
Sleaker@EZK - I believe there were a few more related to Patreon, and IGF. But regardless of the disclosure thing, that was only half of my statement, and I'm simply trying to speak on the reasons why GG got popular. But you sidestepped my last question there...10/02/2014 - 9:50am
KronoThe only questions is whether or you believe Grayson's previous friendship with her, and possible interest in starting a romance influenced his reporting.10/02/2014 - 9:48am
Krono@EZK There's nothing supposed about Grayson and Quinn having a relationship. Kotaku itself confirmed said romance matching the timeline Eron posted: http://goo.gl/yLgdx910/02/2014 - 9:46am
prh99So far the only "crimes" seem to be editorializing and collaboration outside their respective organizations. If they are going to persist at least point to something actually questionable.10/02/2014 - 9:45am
E. Zachary KnightSo aside from the supposed Kotaku/Quinn relationship, do you have a specific example of said lack of disclosure?10/02/2014 - 9:36am
prh99#gamergate renamed #butthurtfarce10/02/2014 - 9:31am
Sleakerwhat the message that they are actually trying to convey is.10/02/2014 - 9:30am
Sleakerthe fault of the journalist? If a large number of people read these articles and all came to the same conclusion that Gamers were being attacked by journalists as a whole, then it seems the burden of journalists to do a better job of explaining...10/02/2014 - 9:29am
Sleaker@EZK - It's not a surprise that articles came out. The surprise is when journalists fail to disclose relationships as they write about the trends, and the content by which the articles contain. Perhaps a large portion was misinterpreted, but isn't that10/02/2014 - 9:28am
prh99It definitely prolonged it, we wouldn't be hearing about Intel if not for Gamers are over/dead. Just additional wood for the fire.10/02/2014 - 9:23am
E. Zachary KnightConster, which sites associated "ALL" gamers with the harassment?10/02/2014 - 9:22am
E. Zachary KnightIs it really a surprise that 15 news sites responed to a very loud and very public shaming campaign against a woman critic of sexism and a woman being attacked unjustly because of the words of an ex-boyfriend.10/02/2014 - 9:19am
ConsterSo a bunch of assholes decided to harass people, sites wrote negative articles associating all gamers with said assholes, and people got so angry about the articles they decided to associate themselves with said assholes?10/02/2014 - 9:18am
Sleaker@EZK - I think you're attributing too much there. I think the reality is actually, if 15 news sites didn't alll write coincidentally 'gamers are dead' articles, in response to a very small number of harassment cases, we wouldn't be here.10/02/2014 - 9:10am
E. Zachary KnightSo what you are saying is that gamergate is a reflexive and defensive reaction to jerks and douchebags being told off?10/02/2014 - 9:06am
Sleaker@prh99 - the ZQ stuff was a catalyst, but GG didn't explode until the Gamers are dead articles popped up everywhere, see article 3 in the link I posted.10/02/2014 - 9:04am
prh99The articles by Leigh Alexander and others were in response to what happened to Anita and Quinn and this toxic subset of gamers. 10/02/2014 - 9:02am
E. Zachary KnightSleaker, My timeline puts events in the order that prh99 just laid out. Had Quinn's ex-boyfriend not been an incredible douchebag, we might not be where we are.10/02/2014 - 9:00am
prh99The blog post by Quinn's exboyfriend suggesting she slept with journalists to get favorable reviews was the impetus for #gamergate.10/02/2014 - 8:54am
 

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