GameStop (NYSE:GME) earnings for the video game retail company’s second quarter of 2020 have GME stock falling after hours Wednesday. That’s thanks to its adjusted losses per share of $1.40 missing Wall Street’s estimate of $1.13. Its revenue of $942 million also falls short of analysts’ estimates of $1.02 billion.
Here’s what else is worth mentioning about the GameStop earnings report.
- Adjusted per-share losses are 337.5% wider than the -32 cents reported in the second quarter of 2019.
- Revenue for the quarter is sitting 26.7% lower than the $1.29 billion reported during the same time last year.
- Operating loss of $85.6 million is 80.8% better year-over-year than $446.7 million.
- The GameStop earnings report also has net loss coming in at $111.3 million.
- That’s a 73.2% narrower net loss than the $415.3 million reported in the same period of the year prior.
George Sherman, CEO of GameStop, said this about its earnings report.
“The second quarter saw strong progress toward our strategic initiatives, fueling an 800% increase in global E-commerce sales, a $133.7 million reduction in SG&A and a significant improvement in our balance sheet with $735.1 million in cash at quarter-end and a 50% reduction in inventory, as compared to the second quarter last year.”
GameStop still isn’t offering guidance at this time. It contributes this to the novel coronavirus. Many other companies are withholding outlooks due to the pandemic.
GME stock was down 4.8% after markets closed on Wednesday.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.