Retailer HMV has reported a 25.5% surge in annual profits to £56.6m, boosted by strong demand for video games such as Nintendo DS More Brain Training and Mario & Sonic at the Olympic Games for the Wii. Its bookselling business Waterstone’s saw sales rise by 3.3%.
Like for like sales in the year to April 26 rose by 7.3% across the group, rising 11.4% at HMV UK and Ireland.
Last year the entertainment retailer began a three-year programme to turn around its business after being hit by falling profits, after coming up against strong competition from supermarkets and music downloads.
HMV has said that it will roll out more “next generation” stores featuring a “social hub”, entertainment websites and games zones. It will also start selling second-hand video games, which customers have traded in part-exchange for newer products.
HMV chairman Carl Symon will step down at the company’s annual general meeting in September to pursue new interests. The board says it has started searching for a successor.
HMV Group operates 379 HMV stores worldwide and 313 Waterstone’s outlets. It sold off its Japanese business last year.