GameStop today reported its first-quarter earnings for the fiscal period ended on April 30, and it was a great quarter for the leading games retailer. Total sales increased 9.5% to $2.28 billion, while used games sales were up by the same amount, the highest growth used has seen at GameStop in six quarters.
Earnings per share increased 16.7% to $0.56 for the quarter, as results were driven primarily by strong HD console sales, the Nintendo 3DS launch and the aforementioned pre-owned business. The top five selling games for GameStop were Nintendo's Pokémon Black and White, Warner Bros' Mortal Kombat, Capcom's Marvel vs. Capcom 3: Fate of Two Worlds, Activision's Call of Duty: Black Ops, and THQ's Homefront.
Paul Raines, chief executive officer, stated, "GameStop continues to execute its strategic plan. Our strong comparable store sales reflect record share gains, pre-owned sales acceleration, robust digital sales growth and extraordinary consumer acceptance of our PowerUp Rewards loyalty program. Our unique, multichannel business model makes the GameStop network the premier gaming provider."
GameStop also noted continued growth in its new digital business, which saw sales expand by 53% for the quarter.
Rob Lloyd, chief financial officer, said, "We delivered record financial results while continuing to make investments in our digital channel, including the acquisitions of Spawn Labs and Impulse, Inc. The strength of our balance sheet and consistent cash flow allows us to invest in future growth channels while returning value to shareholders."
