Wed 09 Sep 20 - 16:00
GameStop is the biggest video game retailer in the world, but the publicly-traded company has experienced instability in recent years due to shifts in games consumption, particularly the decline of the used game market. The company released(June-August in this case) today, and while the numbers aren't quite as dismal as last year, they're still not promising either.
Overall, GameStop reported a net loss of $111 million, compared to $415 million from the same period last year. However, net sales dropped from $1.2 billion to $900 million--a decrease of 26.7%--which can likely be attributed in part to store closures caused by the ongoing. There was a 13% reduction in total store operating days due to COVID-19, and a 10% reduction in the overall number of stores. The company did champion a 800% increase in e-commerce sales, which represents 20% of its net sales. The company's stock decreased by more than 4%
GameStop made national headlines back in March when the retailer, with the company's management ordering staff to resist efforts by authorities to close their stores. GameStop later went back on this claim, closing stores to in-person retail and offering curbside pickup instead. The retailer more than 300 stores this year. The upcoming launch of the and will be a boon to the company in the short-term, but it's still unclear what effect that will have in the long-term.