CBS 11 Header TXA 21 Header MeTV Header KRLD Header The Fan Header
CBS DFW WEATHER APP: iPhone App Store | Android App Coming Soon | More Information

Local

GameStop Reports Lower Holiday Sales

Get Breaking News First

Receive News, Politics, and Entertainment Headlines Each Morning.
Sign Up

From Our CBS Music Web Sites

494849761 10 GameStop Reports Lower Holiday SalesCelebrating National Underwear Day

465887719 GameStop Reports Lower Holiday SalesFacebook Users – Beware The App!

 alt=JLo Shows Off Her Best Assets In New Cover

904255 10 GameStop Reports Lower Holiday SalesRemembering Robin Williams

 alt=Musicians Then And Now

Fantasy_tile

VOTE: Best Coaches In American Sports

GRAPEVINE (AP) - Shares of GameStop Corp. tumbled Tuesday after the world’s largest video game retailer reported lower holiday sales and said its fourth-quarter earnings would be at the low end of its guidance.

The Grapevine, Texas-based company said its sales at stores that have been open for at least a year declined 4.4 percent. This measure is an important measure of a retailer’s health because sales at recently opened or closed stores can skew results.

Total sales for the nine-week holiday shopping that ended on Dec. 29 fell nearly 5 percent from a year earlier, to $2.88 billion.

GameStop said it expects fourth-quarter earnings per share to be at the low end of its current guidance. The company said in November that it expects net income of $2.07 to $2.27 per share.

Analysts, on average, are expecting earnings of $2.16 per share, according to a poll by FactSet.

Weak holiday sales are concerning for GameStop because video game companies rely on the holiday season for a lot of their revenue.

“Our successful Wii U launch, strong digital growth and continued momentum in the mobile space were countered by a decline in store traffic,” said CEO Paul Raines in a statement.

Shares of GameStop fell $1.67, or 6.8 percent, to $23.08 in morning trading. The stock has traded in a 52-week range of $15.32 and $28.35.

(© Copyright 2013 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

Also Check Out:

Follow

Get every new post delivered to your Inbox.

Join 42,303 other followers