The Channel logo

News

By | Tim Richardson 29th November 2005 16:21

Game warns of not so merry Xmas

Oh, oh, oh

With the annual spending spree about to kick into top gear UK computer retailer Game has warned that this year is unlikely to be a very merry Christmas.

Publishing a trading update today it warned that sales would be hit by falling prices for long-in-the-tooth systems and a lack of supply of new gaming gear.

"The significant price deflation on hardware and software as the current generation of consoles reach maturity, coupled with the tough retail environment, have resulted in ongoing like for like sales declines for our business," said the retailer today.

"Since our last update on 27 September, the retail trading environment has not improved and the anticipated pick-up in the like for like sales of mature format hardware and software has not materialised in recent weeks."

What's so frustrating for Game is that it reckons there's plenty of people willing to splash out on the latest kit. It describes interest for the Sony PSP as "exceptional" but laments that supplies have been "behind plan and intermittent". It also warned that supply of the new Microsoft Xbox360 will be "extremely limited".

Looking ahead to next year, though, Game reckons that increased supply of new products and titles will help boost income and lead to a "successful outcome for the financial year 2006/07".

By mid afternoon shares in Game had recovered after early falls down 3.75p at 74p. ®

alert Send corrections

Opinion

Walking on water, image via Shutterstock

Chris Mellor

IDC stats reveal who's who in the backup appliance bearpit
Carry on Cleo

Gavin Clarke

Infamy, infamy, Amazon and Microsoft have all got it in for me!

Tim Anderson

Also signals stronger cross-platform tools, access to new markets

Features

Nerd fail photo via Shutterstock
Shouting match
Single market vs. rest of the world
hacker
Mostly it's financial crime. Here's what all the cool kids' terms mean in English
Apple logo. Pic: Blake Patterson
Plenty of bumps in the 40-year road for Mac makers