Entertainment retail giant HMV has released a trading update for the five weeks ended January 5th 2008, which show considerable progress in the company’s three-year turnarond plan.

Group total were sales up 9.9 per cent, and like-for-like growth stood at 9.4 per cent. HMV UK and Ireland total were sales up 16.1 per cent, including like-for-like growth of 14.1 per cent. HMV International total sales up 2.3 per cent, with like-for-like sales down 0.6 per cent.

The trading statement adds that gross margins were mantained despite a higher games presence, and that the retailer’s ‘turnaround initiatives’ were progressing according to plan, which included “flexing the product mix towards higher growth games and technology” in-store.

"Less than a year into our transformation programme the initiatives we are undertaking to revitalise our business have helped to deliver a highly successful Christmas,” said chief executive Simon Fox. “Having stabilised the business, we will continue to focus on revitalising our store propositions as well as growing new channels to market and carefully managing margins and costs. The Group is, therefore, well positioned for the next phase of its turnaround.”