GameStop Reports 2017 Holiday Sales Results, Sees Big Boost Thanks To Switch

GRAPEVINE, Texas, Jan. 12, 2018 (GLOBE NEWSWIRE) -- GameStop Corp. (NYSE:GME), a global family of specialty retail brands that makes the most popular technologies affordable and simple, today reported sales results for the nine-week holiday period ended December 30, 2017.

Total global sales for the holiday period were $2.77 billion, a 10.6% increase compared to the 2016 holiday period. Total comparable store sales increased 11.8%, growing 13.7% in the U.S. and 7.9% internationally. Worldwide omnichannel sales increased 21.5%.

Dan DeMatteo, interim chief executive officer, stated, “We are pleased with our sales performance during the important holiday period, driven by strength in the Nintendo Switch and Xbox One X, and a solid increase in our collectibles business. Our results demonstrate our customers’ enthusiastic response to new products and our ability to execute on strategically targeted promotions.”

Gaming Business Update

New hardware sales increased 38.3%, driven by continued strong demand for the Nintendo Switch and the launch of Microsoft’s Xbox One X.
Sales of new video game software increased 7.3%, largely attributed to the success of Activision’s Call of Duty: WWII and continued strength in Nintendo Switch titles.
Pre-owned sales declined 8.1%, as customers shifted their spend to compelling new video game and collectibles products.
Video game accessories sales grew 33.7%, primarily related to demand for Nintendo Switch accessories.
Non-Physical Gaming Business Update

Collectibles sales increased 19.4% to $211.3 million, driven by strong performance across apparel and toys.
Digital sales and non-GAAP digital receipts increased 36.7% and 6.7%, respectively, excluding the 2016 holiday period revenues from Kongregate which was divested in July 2017. On a reported basis, digital sales increased 4.6%, while non-GAAP digital receipts increased 2.2%.
Technology Brands sales, which are not included in comparable store sales, decreased 18.6%, driven by limited availability of the iPhone X and changes made by AT&T to the compensation structure in 2017.

Categories: Consoles
Tags: switch


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