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UPDATE 1-GameStop revenue beats estimates, shares rise

(Adds Q3 details, FY forecast and share move)

Nov 21 (Reuters) - GameStop Corp, the world's largest video game and gaming console retailer, reported better-than-expected quarterly revenue, as the company benefited from a continued rise in demand for the Nintendo Switch console.

The company's shares were up 3.4 percent at $17.30 after the bell.

The company said it now expects full-year comparable store sales to increase in low- to mid-single digits, compared with its previous forecast range of the high-end of down 5 percent to flat.

"As we enter the fourth quarter, we are encouraged by the initial customer response to Microsoft's Xbox One X, and believe that the holiday season results will be driven by new console hardware and collectibles," interim Chief Executive Dan DeMatteo said in a statement on Tuesday.

The company's net sales rose 1.5 percent to $1.99 billion in the third quarter, beating the average analyst estimate of $1.97 billion, according to Thomson Reuters I/B/E/S.

Sales in the company's hardware business jumped 8.8 percent to $309.5 million, while sales in its video game retail business rose 5.4 percent to $649.9 million.

The company's net income rose to $59.4 million, or 59 cents per share, in the quarter ended Oct. 28, from $50.8 million, or 49 cents per share, a year earlier.

Excluding items, GameStop earned 54 cents per share. (Reporting by Laharee Chatterjee and Arunima Banerjee in Bengaluru; Editing by Maju Samuel)