According to prominent game retailer, GameStop, the company’s financial results for the third quarter of 2014 (which ended on November 1st) are down as compared to the third quarter of 2013 – $2.09 billion vs. $2.11 billion respectively.
Furthermore, GameStop’s third quarter net income fell from $69.6 million last year to $56.4 million this year. The company’s stock also fell by 13%.
In spite of GameStop’s general decline in revenue, the company reports that new hardware sales for the PlayStation 4 and Xbox One rose 147%. GameStop added that after nearly a year since the PS4 and Xbox One’s release, the combined install base of both consoles is 73% larger than those of the last generation PS3 and Xbox 360s.
Additionally, the company’s pre-owned sales grew by 2.6% since their last financial report. GameStop’s mobile device sales also increased by 125% due to continued expansion and strong emphasis emphasis on the new service.
Read more details on GameStop’s financial results and reasons for the decline in sales after the break.
GameStop Sales Drop In Spite of New Hardware Growth
In spite of an increase in sales for new hardware, pre-owned games, and mobile devices, GameStop CEO, Paul Raines, has placed the blame for the company’s overall drop in sales and stock on Ubisoft’s delay of highly anticipated game, Assassin’s Creed Unity.
The game was originally set to release on October 28th, however it was moved back to a launch date of November 11th, meaning that the title was not eligible to be included in GameStop’s third quarter financial results.
What are your thoughts on this news? Do you feel that GameStop is going through some tough financial times, or is it merely a hiccup due to Assassin’s Creed Unity‘s delay.
Also, do you tend to shop at GameStop or do you opt for more mom-and-pop shots when purchasing your games?
Let us know in the comments section below! As always, stay tuned to GamerHeadlines.com for the latest in video game and technology news.