UK video game retailing giant Game Group (owners of Game and Game Station stores) have reported a pre-tax loss of £51.5 million (around $85 million USD) for the six month period to July 2011, a sharp rise from previous losses of £21.5 million last year. The company also reported sales were down by more than 10%.
Game Group blames the squeeze on consumer spending and a lack of new hardware coming to market. Many retailers and software developers have stated the lack of new console models is hurting sales but both Microsoft and Sony are in no hurry to replace their current generation machines.
Game has hundreds of stores across the UK, Ireland, Europe and Australia, and is pinning its hopes of a recovery in sales on the release of big budget titles in the run up to the crucial Christmas trading period.