GAME announces first half profits as turnovers rise

Leading UK retail chain GAME Group has announced a profit for the first half of its financial year, the six months ended July 31 - only the fourth time in the group's history that this period has recorded a profit.

The company announced a profit of £2.1 million during the half year, down from a larger profit of £3.1 million last year but nonetheless a major achievement in a market which has traditionally been weak in the first half of the year.

The company's turnover was up 8 per cent to £231 million during the reporting period, although like for like sales did fall slightly, by 0.3 per cent. However, the company maintained its gross margins and its report on the first half is strongly optimistic about the prospects for Christmas, especially given the large installed bases of all the major consoles.

Most importantly, these results prove that last years record first half results weren't a once-off, as GAME Group chairman Peter Lewis points out in his statement on the figures. "These are solid and reassuring results," he commented, "coming on top of last years' 50 per cent sales increase. The stage is set for an exciting Christmas."