The US video game retailer GameStop is increasingly focusing on its conversion into a technology company with a focus on online gamers. The company wants to invest in this area in the current year, said GameStop. In order to increase the financial leeway, after the exorbitant price jump in GameStop shares, consideration is also being given to selling own shares. Online sales increased 175 percent. Revenues fell meanwhile for the ninth quarter in a row and were at 2.12 billion dollars (1.8 billion euros) also slightly below the expectations of analysts. The profit rose, not least thanks to lower expenses, from $ 21.0 million to $ 80.5 million.
GameStop made headlines in January with a speculative battle on the stock exchange. The company has been in crisis for some time, but shares had rallied breathtakingly, driven by small investors organized on the Internet. That, in turn, brought in huge losses for hedge funds betting on a price decline. In January the stock had hit a record high of over $ 483, but the soaring was quickly over. Most recently, the papers cost just under $ 182.
In the entire past fiscal year, GameStop’s revenues fell by around 21 percent to $ 5.1 billion. The bottom line was a loss of $ 215.3 million. The branch business with video games is not considered to be a major growth driver anyway and suffers even more in the pandemic.
“Nobody really cares about the quarterly results,” Neil Wilson, chief analyst of the online broker Markets.com, said before the figures were presented. “Everyone is interested in the resources that are necessary to turn GameStop into an› Amazon of computer games ‹.” Therefore, the announcement of a capital increase and the plans to expand the online business are eagerly awaited.
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GameStop Revenue ninth quarter row