Strong video game sales, on both console and PC, helped drive retailer HMV to a 25 percent growth in their fiscal year results. The boost, the company says, will help it speed up the rollout of some fancy new stores.
Reported the UK Independent:
HMV said its pre-tax profits rose by 25.2 per cent to £56.6m and total sales grew by 11.3 per cent. Simon Fox, the chief executive, said: "A year ago, we said this would be a year for stabilising the business, but actually it turned into a year of growth. We are only one year into the three-year turnaround strategy, but we are definitely ahead of schedule."
Fox also laid out exactly how much improving game sales had helped:
Mr Fox said HMV increased its share in the booming market for video games and technology products. These accounted for 21 per cent of total UK and Ireland sales over the year, up from just 14 per cent a year ago. Mr Fox added: "[The] games [market] is cyclical, but people expect it to be longer and stronger than previous cycles. The Wii [Fit] is a fantastic product and is still in short supply."
The revenue boost will help HMV renovate 10 to 15 more of its stores to a "next-generation" format, which will include multiplayer games and kiosks, over the coming year. The retailer says its trial stores have shown promising results thus far.