There are signs of hope for struggling high street entertainment chain HMV as it looks to capitalise on the demise of its rival Game.
Its latest trading update reveals HMV expects to make a loss of around £16m in the full year to April 28, with like-for-like sales down 12.4% in the last 17 weeks of the reporting period.
That's not good, but with Game having collapsed earlier this year and a "changed" relationship with key music and film suppliers HMV predicts profits before tax for the next full year of £10m against an analyst consensus of a loss of £5m.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
This prediction had boosted the share price 10.8% by 11:16.
The firm's Chief Executive, Simon Fox, said: "The last year has been a difficult and challenging one for HMV and this will be reflected in our annual results. However we are confident that the actions we have taken will enable us to significantly improve our profit and cash generation in the year ahead."
Amex launches £25 cashback boost on spending for new customers
American Express has boosted cashback offers on its Platinum and Gold cards but act fast as these deals are only available for a limited period
By Oojal Dhanjal Published
Should your business invest in a VoIP phone service?
Here's what you need to know about VOIP (voice over IP) services before landlines go digital in 2025.
By David Prosser Published