GameStop’s Q3 results buoyed by hit game sales

While other companies are screaming that the sky is falling, retailer GameStop said Thursday that sales of hot game titles helped boost its third-quarter profits by nearly 12 percent and offset a sales decline for video game hardware in the quarter. These profits just barely helped the company beat Wall Street expectations. Excluding costs, GameStop’s operating profit of 32 cents per share beat a forecast of 30 cents per share.

Net earnings for the quarter that ended on Oct. 13 were $52.2 million - 31 cents per share, up from a profit of $46.7 million - 28 cents per share, in the same period a year ago. Sales in the quarter climbed 8.2 percent to $1.83 billion; analysts estimated $1.73 billion. A year ago the company raked in $1.7 billion.

Sales of new software rose 9.4 percent, and sales of used products jumped 19 percent. These gains helped offset a decline in sales of new video game hardware. But sales at stores open at least a year, which is considered a measure of a retailer’s financial health — fell 7.8 percent. That’s in line with forecast the company offered last week - a decline of 6 - 11 percent.

So what games pulled GameStop’s fanny out of the fire this quarter? According to the company, Madden NFL 10, Halo 3: ODST, Batman: Arkham Asylum, NBA 2K10 and Nintendo’s Wii Sports Resort. Call of Duty: Modern Warfare 2 sold more than 2.5 million copies worldwide in its first 72 hours of release as well.

For the fourth quarter, GameStop expects a profit of $1.47 - $1.65 per share; analysts forecast Q4 profits at $1.57.

Divinity II - Ego Draconis pre-order details

cdv Software Entertainment USA today revealed the first details on its Divinity II - Ego Draconis pre-order incentive program. Starting today, consumers who pre-order Divinity II - Ego Draconis from GameStop will receive the Blood Echelon Armor and Weapon Set - while supplies last, of course. Like you can run out of digital content? Just make more copies, people.

Anyway, the Blood Echelon is described by cdv as a select lodge of elite Dragon Slayers who have earned the highest of distinctions on the battlefield. Their elite armor and weapon set includes the Blood Echelon Armor (Blood Echelon armor is powerfully sturdy set that is also highly intimidating) and the Blood Echelon weapon (a claymore that can cut through armor like it was mere flesh.

The pre-order program is available now through January 5, 2010 and appatrently exclusive to GameStop GameStop. Incentive items will be available GameStop online or at time of pick-up starting January 5, 2010.

Divnity II - Ego Draconis will be released on January 5, 2010 in North America on the Xbox 360 and PC.

Crystal Chronicles: The Crystal Bearers pre-order details

Pre-orders are now available for Final Fantasy Crystal Chronicles: The Crystal Bearers, according to word from Square Enix this week. GameStop is offering $5.00 off the game at the time of purchase (details here), Amazon.com is giving a themed, limited edition 2010 calendar (details here), and Best Buy is offering an exclusive soundtrack sampler to its pre-order customers. (details here). Doesn’t seem all that exciting to me, but whatever makes your world spin around.

Final Fantasy Crystal Chronicles: The Crystal Bearers ships in late Dec. for the Wii.

Philly postal worker pleads to Gamefly theft charges

An ex-Philadelphia postal service worker stole 2,200 video games addressed to Philadelphia-area residents who rented them from the video game rental service, GameFly, according to a report in Philadelphia Daily News. Reginald Johnson, a 34 year old who worked as a mail-processing clerk used to unloaded mail from tractor-trailers at the Postal Service distribution center in Philadelphia.. used to. Apparently, while unloading some of those trucks, he loaded up on envelopes containing video games.

You may recall that GameFly complained about the postal service not delivering its game to customers. Well in some large metropolitan areas.. like Philadelphia, the inspector general began conducting investigation to see just what the hell was going on.

One such investigation that took place on Sept. 5 of this year - a surveillance operation of the Philadelphia center using test mailings caught Johnson in the act. According to the paper, federal agents tried to arrest Johnson later that day as he entered his SUV, but Johnson sped off and later crashed his vehicle. After apprehending Johnson, they agents found a bunch of incriminating evidence: 81 GameFly mailings in a duffel bag, an additional 79 GameFly mailings in a back pack, five copies of Wii Sports, 3 copies of Wii Fit, a PlayStation console (we assume the report refers to a PS3), game controllers and - most interesting of all - receipts from GameStop, where Johnson had apparently made a few sales. According to federal prosecutors, Johnson stole $86,000 worth of merchandise between April and September 2008.

Johnson plead guilty in federal district court yesterday and faces 12 to 18 months in prison - and some form of restitution for what he stole, no doubt. He’ll be sentenced on Jan. 13. No word on whether the GameStop that bought Johnson’s purloined packages returned any of them to GameFly.

DECA SPORTS 2 released

DECA SPORTS 2 for Wii has been released at North American retail outlets today. The sequel brings 10 new sports, online multiplayer and the same gameplay that helped the original DECA SPORTS ship over two million copies worldwide. With the addition of Nintendo Wi-Fi Connection online multiplayer, DECA SPORTS 2 allows players to remotely challenge other gamers across the country in tennis, ice hockey and dodge ball. The game also features diverse sports such as synchronized swimming, motorcycle road racing, speed skating, mogul skiing and darts, as well as lesser known international sports such as petanque and kendo. Gamers will also be able to design their own teams, customizing uniforms, athlete skills and their appearance.

And on a related note, Hudson Entertainment will sponsor complimentary tournaments featuring DECA SPORTS 2 at GameStop stores in San Jose, Boston and Denver. Each Deca League Challenge Event will be two separate days featuring a private weekday event exclusively for members of local Boys & Girls Clubs and a public weekend tournament where winners receive GameStop gift cards. Dates, times and locations of the events after the break:

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Pre-order customers get Brütal Legend demo early

Are they rewarding pre-order customers or punishing the rest of us for not opting in early? Electronic Arts and those crazy cats at Double Fine Productions are giving pre-order customers a treat - early access to the Brütal Legend demo four weeks before the game’s “Rocktober 13th” release in North America. That’s odd because I thought it was being released in Rockvember 32nd. Players can enjoy Tim Schafer’s heavy metal action adventure game long before the unwashed masses can (that’s me - guilty as charged!). Starting today pre-order customers from GameStop can download the demo on Xbox LIVE and the PlayStation Network. For anyone that has not pre-ordered the game, the demo will be available on both platforms in the coming weeks.

The Brütal Legend demo includes the game’s entire opening chapter, setting the stage for roadie Eddie Riggs journey into a Heavy Metal-inspired universe on the brink of decimation. After a stage accident renders Eddie unconscious, he awakens to find himself in a fantasy world where mountains are made of amplifiers, killer spiders spin guitar strings and heavy metal legends including Rob Halford, Lemmy Kilmister, Lita Ford and Ozzy Osbourne roam the world’s picturesque landscapes. Sounds like an acid trip I had once. A series of tutorials shows players that Eddie is uniquely qualified to lead the revolution to save humanity – his muscles big enough to swing “The Separator” axe, slashing his way through demons and druids, his strumming skills vast enough to handle “Clementine”, an electrifying guitar that can shock and set fire to any threat. These weapons, along with a variety of deadly combos, double-team attacks with allies and Eddie’s self-made hot-rod, the Deuce, will all be needed in order to defeat the vicious boss at the end of the demo.

New Dante’s Inferno Circle of Hell: Greed

EA passed along word that tomorrow a new “Circle of Hell,” Greed, will be revealed and detailed on the official web site for Dante’s Inferno. EA announced earlier this year that it would unveil a new Circle of Hell at the web site on the 9th of every month. This means a new site theme, all new content, new videos, new downloads and a new interactive feature, debuting on September 9th.

EA also announced a one day sale at GameStop for pre-order customers. For one day only on 09/09/09 (tomorrow) anyone who pre-orders will get $6.66 off any pre-order of Dante’s Inferno. You can take advantage of the pre-order deal by visiting www.gamestop.com.

Dante’s Inferno is being developed by EA’s Visceral Games studio and will be released on PS3, Xbox 360 and PSP.