Game’s full-year sales edge up despite UK slump

The specialist retailer, which unveiled a concession tie-up with Maplin this month, recorded a 0.1% rise in retail group sales in the year to July 29.

However, the retailer’s UK sales during the full year dropped 6.8% despite an improved performance in the second half of the year driven by sales of the Nintendo Switch console, which boosted UK sales 8.8%

Mike Ashley snapped up a 25% stake in Game last month shortly after the retailer issued a profit warning as customer demand for Nintendo Switch consoles failed to meet expectations.

The specialist retailer has identified £5m of operational cost savings across its UK business to partially offset its expected profit decline, and has over 220 lease events to manage across its 306-strong UK store estate by the end of next year.

Esports

Game also plans to further roll out its esports store format and integrate it into its core proposition.

The esports and multi-play format, which is currently in 18 outlets, posted a 50% jump in sales to £7.1m during the period.

Chief executive Martyn Gibbs said: “Game has made further progress in the second half of the year as we continue to focus on developing our strategic initiatives while creating a new cost base for our UK retail business to address the challenges in the UK console market.

“We have reviewed our operations and are now accelerating development plans as we seek to fully capitalise on the strong growth potential in our exciting and growing esports activities.”