GameStop Boasts Strong Profit in 1Q

New York City GameStop Corp. said Thursday its fiscal first-quarter profit more than doubled on strong sales of "Grand Theft Auto IV," "Super Smash Bros. Brawl" and other games.

For the three months ended May 3, the company earned $62.1 million up from $24.7 million in the same period a year earlier.

Revenue jumped 42% to $1.81 billion from $1.28 billion.

GameStop's results came at an upbeat time in the video-game industry, which is thriving even as people are cutting back on discretionary spending. GameStop said the installed base of video-game consoles grew 34%, or 31 million units, in 2007—the highest incremental growth in the history of the business.