GameStop fiscal Q4 misses, declines to forecast, plans tech investments
Video game retailer GameStop this afternoon reported Q4 revenue and profit that missed expectations, and said it would continue not to forecast results amidst uncertainty.
The earnings report followed an announcement earlier in the day that the company's chief financial officer, James A. Bell, resigned, effective March 26th.
The report sent GameStop shares up about 4% in late trading, after declining 6% during the regular session.
GameStop said that for this year, as its "2021 Strategic Initiatives," it is "focused on transforming into a customer-obsessed technology company that delights gamers.
The Board and management are taking the below steps in fiscal year 2021.
- Investing in technology capabilities, including by in-sourcing talent and revamping systems, and evaluating next-generation assets;
- Building a superior customer experience;
- Expanding product offerings;
- Modernizing U.S. fulfillment operations to improve speed of delivery and service;
- Establishing a U.S.-based customer care operation, and;
- Leveraging the Company's digital assets, including Game Informer and PowerUp Rewards, to increase market share within the growing online gaming community.
Revenue in the three months ended in January rose to $2.12 billion, yielding a net profit $1.34 a share.
Analysts had been modeling $2.2 billion and $1.35 per share.
GameStop's same-store sales rose 6.5% in the quarter.