Leading UK video games retailer GAME reports its annual financials tomorrow – and the national press is expecting a significant slump in profits.
The Guardian reports that GAME will report a 60 per cent drop in profits for the year ending January, a downturn it blames on the rise of digital retail. It expects profit to land somewhere between 37m and 39m.
This is in line with the predictions issued by GAME in January.
The paper, however, fails to note both the general hostility on the High Street and the increased competition from supermarkets and other entertainment rivals.
In October last year GAME outlined its plans to grow the business over the coming years.
The Guardian adds that Deutsche Bank analysts have speculated that US chain GameStop could be weighing up an acquisition. However, as MCV revealed, GameStop’s UK growth is to be targeted through digital channels.