GameStop Earns Top Spot from Holiday Sales
Jan 16, 2014 11:46AM ● Published by Anonymous
By Christina Mlynski
The world’s largest multichannel video game retailer had a lot to be cheerful about this holiday sales season.
GameStop, which is one of our top businesses to watch out for this year, reported $3.15 billion of total global sales, up 9.3% for the nine-week holiday period ending Jan. 4, which is compared to a year earlier.
Total comparable store sales jumped 10.2%, which was driven by new video game console sales, including Xbox One and PlayStation 4 — as demonstrated by the 99.8% increase in new hardware sales.
Consequently, GameStop secured the top market share position in the nation and in most of the countries in which the company currently operates, GameStop CEO Paul Raines explains.
Additionally, GameStop had the highest software and accessory attach ratio of any retailer for both new game consoles.
“I am pleased to report that the extensive planning by our entire team over the past year to prepare for the new console launches paid off,” he says. “Building off this momentum, we are in an excellent position to drive the global adoption of the next generation of new video game products in 2014.”
GameStop’s global multichannel sales — mobile, web-in-store and pick-up at store — rose 57% from last year’s holiday period due to customers utilizing multiple ways to purchase video game products.
During the holiday selling period, total site traffic ranked in the top 20 of all online retailers.
Based on these holiday results, Grapevine’s own GameStop now expects its fourth quarter and full year store sales to be at the high end of the current range.Fourth quarter earnings per share are expected to range of $1.85 to $1.95. Additionally, full year earnings per share will range of $2.96 to $3.06.