GameStop will close 200 stores
GameStop plans to close 200 stores by next year. The closings follow the Texas-based video game retailer’s report of unexpectedly good third-quarter results. The retailer heads into the holidays weighed down by a two-year industry slump as players gravitate to mobile and online play from console-based games. It runs 6,650 stores worldwide. Investors are weighing whether the release of Nintendo’s Wii U will spur sales or confirm declining interest in packaged games. For the third quarter, GameStop posted a net loss of $624.3 million, or $5.08 a share, compared with net income of $53.9 million, or 39 cents, a year earlier. Excluding impairment expenses, earnings of 38 cents topped the average analysts’ estimate of 33 cents per share. Sales declined 8.9 percent, to $1.77 billion.