Dive Brief:
- As it delves deeper into digital assets, GameStop’s second quarter net sales increased 21.8% year over year to $972.2 million, per a company press release Tuesday.
- The retailer reported a $66.4 million operating income, compared to an operating loss of $22 million the year prior.
- GameStop’s net income for the period reached $168.6 million, a dramatic increase from the year prior’s $14.8 million. The company did not provide forward-looking guidance or conduct an earnings call, but reported its Bitcoin holdings at the end of the quarter were valued at $528.6 million.
Dive Insight:
From the perspective of GameStop CEO Ryan Cohen (who also founded pet care company Chewy), Q2 earnings results were a success.
The executive posted a brief reflection to his X (formerly Twitter) account on Tuesday:
not bad for a piece of crap retailer
— Ryan Cohen (@ryancohen) September 9, 2025
The electronics and gaming company purchased 4,710 Bitcoin during the second quarter (worth around $500 million at the time of purchase in May), and has since recorded an unrealized gain of $28.6 million, per a Tuesday U.S. Securities and Exchange Commission filing.
GameStop’s net sales gains were driven by year-over-year growth in the collectibles category, as well as hardware and accessories. Meanwhile, software sales experienced a decline.
That’s in contrast to category results during its first quarter, which showed sharp, double-digit declines in software, hardware and accessories.
The latest performance from GameStop comes a few months after the retailer sold off its Canadian business, Electronics Boutique Canada Inc., to entrepreneur Stephan Tetrault. This followed an earlier announcement that the company would divest its Canadian and French operations.
The sale of operations in France is expected to close within the next 12 months, according to GameStop's 10-Q filing.
As for its brick-and-mortar operations in the U.S., GameStop shuttered nearly 600 locations in fiscal 2024. For the current fiscal year, the company said in its filing that while a “review is ongoing and a specific set of stores has not been identified for closure, we anticipate closing a significant number of additional stores in fiscal 2025.”
