A mall visitor walks into a GameStop store on December 8, 2021 in San Rafael, California.
Justin Sullivan | Getty Images
Shares of GameStop tumbled in extended trading on Thursday after the video game retailer reported unexpected losses for the holiday quarter.
However, the video game retailer said it is strengthening relationships with gaming brands and looking for new ways to make money. He said he would launch a new marketplace for non-fungible tokens, or NFTs, by the end of April.
In its fiscal fourth quarter ended January 29, the company posted a net loss of $147.5 million, or $1.94 per share, compared to earnings of $80.5 million, or $1.19 per share. a year earlier. Adjusted loss per share was $1.86. Total revenue rose to $2.25 billion.
GameStop has not provided financial projections since the start of the pandemic in March 2020. He also did not answer questions from analysts about the company’s earnings for the past year. At 5:00 pm ET, he will have a profit and loss call.
In the fourth quarter, the retailer said it had struck deals and strengthened relationships with brands such as Alienware, Corsair, Lenovo and other PC gaming companies. The company said its PowerUp Rewards Pro subscription service grew 32% year-over-year. According to the company, the total membership currently stands at about 5.8 million.
GameStop was one of the first targets in the meme frenzy and has received a new leaderboard looking to turn the traditional web into an e-commerce player. Chewy co-founder Ryan Cohen was appointed to lead the company’s reorganization as chairman of the company’s board of directors. He hired former Amazon executives Matthew Furlong and Mike Recupero as CEO and COO, respectively.
Cohen also contributed to another meme: Bed Bed & Beyond. Earlier this month, he revealed that he owns nearly 10% of the company.
GameStop’s stock has rallied a lot over the past year. The stock hit a 52-week low of $77.58 on Monday, less than one-quarter of its value last June.
As of the end of Thursday, GameStop shares are down about 41% this year. Shares rose about 1% on Thursday to close at $87.70. The market value of the company is almost $7 billion.
Read the company’s press release here.
This is an evolving story. Please stay tuned for updates.