High street entertainment retailer HMV looks set to return to profitability after the previous quarters results, though its sales are still not looking too great.
Compared to this same period last year, there’s been an overall 19.4 per cent drop in total sales and an 11.7 per cent drop in the past quarter alone. However, some areas of the chain’s business are doing a little better, with Live Operations reporting a 5.4 per cent growth in the past year.
Due to a few shake ups in the past twelve months – where the future of HMV did seem a bit precarious at times – the store was able to make a profit, despite drops in sales, though it won’t be as high as initially forecast. The resurgence has been helped by the troubles at GAME, with HMV picking up some of the customers that would have otherwise purchased their titles there.
“The last year has been a difficult and challenging one for HMV and this will be reflected in our annual results,” chief executive Simon Fox stated. He also for the first time, admitted to HMV benefitting from GAME troubles. Other retailers have been a little more overt.
“However we are confident that the actions we have taken will enable us to significantly improve our profit and cash generation in the year ahead,” he continued.
Source: MCVUKLeave a comment on this article