Per GameStop

GameStop released its Q3 financial results showing a drop in net sales compared to a year earlier but massive cash, cash equivalents, and market securities by the end of the quarter. The company's third quarter ended on October 29, 2022.

The company reported a small loss of $94.7 million over the last three months compared to its $1.042 billion cash, cash equivalents, and marketable securities. The company reported an overall net loss of $105.4 million during the same time last year.

Last year during the same period, the company announced $1.413 billion in cash, cash equivalents, and marketable securities.

Amid the FTX situation, GameStop CEO Matt Furlong addressed concerns, saying the company does not hold a "material balance" of any crypto token and will not be returning to crypto anytime soon, saying they "will not risk meaningful stockholder capital in this space," per GameSpot.

Previously, GameStop announced that it would look into NFTs to help its growth. The company has already laid off different crypto-related positions as it scales back on top of layoffs in other corporate positions.

In Q3 2021, GameStop's net sales were at $1.297 billion compared to the $1.186 billion reported for this quarter. The company will focus on three main areas: gaming, pre-owned items, and collectibles.

So far, GameStop's stock price has dropped 44.53% year-over-year but is still up by 867.07% overall. This is massively due to the memestock rally that saw stocks like GME, AMC, and others massively spike in value almost overnight, which have also seen a drop this year nearing half of their meteoric gains.

The company made $627 million from hardware and accessories, resulting in 52.8% of the company's total revenue.

Of the remaining 47.2%, 29.7% was made from software, raking in $352.1 million, and 17.5% from collectibles. The company's inventory during Q3 of 2021 was at $1.141 billion compared to its current $1.131 billion, dropping $10 million.

Resources:

GameStop

GameSpot

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