GameStop sees 1H13 'very difficult,' sees return to growth in 2H

theflyonthewall.com

Says pre-owned game business has slowed with decline in new titles. Says pre-owned video game business has performed "far better" than the new software category, and expects that business to return to growth as consoles accelerate. Says expects to continue to return cash flow to shareholders. Says continues to look at acquisition opportunities for growth. Sees 2013 margins comparable to 2012, sees FY free cash flow $425M-$475M, CapEx $135M-$140M. Says continuing to reduce spend on new stores, says will open about 50 stores in the U.S. close about 200 stores in 2013. Regarding its guidance, the company says the high end of its view assumes two console releases, while the low end assumes one console release. Comments made on the Q4 earnings conference call.

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