Game rocked as top bosses quit

Chief executive Lisa Morgan has left to "pursue other opportunities" while the group's chief operating officer Terry Scicluna is also to step down.

The departures – along with disappointing trading news – triggered a shares sell-off, sending the company's stock down as much as 15 per cent at one point.

Singer analyst Mark Photiades said: "This degree of management change at a time when the business is facing tough conditions is likely to be unsettling."

Ms Morgan has led Game since 2006 but will be replaced by board member and former Ladbrokes boss Chris Bell while a successor is sought.

Markets gave the thumbs down to a 14.4 per cent fall in like-for-like sales across the group in the 11 weeks to April 17 and a decline of almost 21 per cent in the UK, although Game said this was in line with management expectations.

Seymour Pierce analyst Freddie George called the figures a "major disappointment", and added: "The poor performance in the UK perhaps explains the management departures."

Game reaped the rewards of a booming console market in 2008 with launches such as Nintendo's Wii and other hit games, but suffered last year in "difficult" conditions which saw the global console market fall by more than 20 per cent.

The group said its 10 per cent revenues slide outperformed the tough conditions but underlying pre-tax profits were down 27 per cent to 90.4m in the year to January 31.

The group saw decreasing demand for consoles and software last year but maintained its market leading position despite fierce competition from supermarkets, online retailers and new entrants such as HMV.

The management departures overshadowed a strategic overhaul by the firm yesterday designed to ward off the tougher conditions.

Game – which gains 94 per cent of its revenues from its store base – has 677 outlets in the UK including 27 in Yorkshire, but plans to cut this to 550 by Christmas 2013.

The group is looking to develop its sales strategy to capitalise on growing markets for playing games online and digital downloads, which currently account for less than one per cent of sales.