Losses stack up at computer games chain

Computer games retailer Game today reported widening pre-tax losses in the face of a dearth of new games and consoles.

Game said pre-tax losses had snowballed to £5.9m (€8.6m) in the six months to July 31 from £800,000 (€1.2m) beforehand.

The group said turnover had fallen 13.6% as expected, due to a predicted lack of major titles in the first half and no new hardware launches.

But Game said it had plans in place to make the most of its traditionally key second half, with a “very strong software release schedule” planned in the run-up to Christmas.

The group said its trading performance had much improved, with like-for-like sales up 1.6% since August 1 and total group sales up by 9.8%.

It added that it was ramping up its store opening programme in Ireland and the UK, with 400 stores planned to be trading for the key Christmas season.

Chairman Peter Lewis said he outlined in April that the first half of the year would be challenging due to the lack of major new titles and no hardware launches.

“As we prepare for the crucial Christmas trading period, we believe we have our best-ever offering,” he said.

“The group has shown its ability to trade well in an increasingly competitive arena and there is a very strong software release schedule in the second half. We continue to expect a satisfactory trading outcome for the year as a whole.”