Bitcoin-buying GameStop drops as Q1 revenues miss estimates
GameStop shares slid over 3.5% after-hours on Tuesday, falling to just above $29 after the video game retailer missed revenue estimates for Q1.
GameStop Corp (GME) shares dropped after-hours on Tuesday as the video game retailer reported mixed results for its first quarter, showing significant operational improvements amid a decline in revenue.
The new Bitcoin (BTC) buying firm’s earnings for its Q1 ending May 3 reported revenues of $732.4 million, lower than analyst estimates of $754.2 million and a 17% decline compared to its $881.8 million revenues at the same time last year, which IG attributed to ongoing challenges in physical game sales.
GameStop reported a net income of $44.8 million, up from a net loss of $32.3 million for the prior year’s first quarter. Operating losses also improved and were $10.8 million for the period, compared to an operating loss of $50.6 million in the first quarter of 2024.