GAME Digital has reported a drop in its half year revenues and pre-tax profits.

The Basingstoke headquartered company, formerly known as GAME Group, has posted an £8.5million drop in operating profits, from £42m to £33.5m for the 26 weeks to January 24, 2015. It also said that revenues for the six month period fell from £586.4m to £582.1m.

Chief executive officer Martyn Gibbs, based at Unity House, in Telford Road, Houndmills, said: “The video games market remains dynamic and competitive.

“While we experienced some challenging conditions over the Christmas trading period, we are confident that our strategy of focusing on customer recruitment, combined with the significant and growing number of Xbox One and PlayStation 4 owners across our two major territories, provides a solid foundation from which to drive growth over the medium term.”

The company has also announced that its chief financial officer Benedict Smith is to step down later in the year.

Mr Smith joined GAME in January 2013 and has been part of the management team which drove the turnaround of the video game retailer under private ownership, leading to the group’s successful stock market launch.

Mr Gibbs said: “Benedict leaves the business in a strong financial position and though he will be with us for a few more months, I and all the team would like to take this opportunity to wish him well in his future role.”

Mr Smith added: “Working for GAME has been a great experience. I am proud to have played a role in the successful development of a strong and dynamic business which is well placed to capitalise further on the exciting future of the video games and eSports markets.”