- GameStop (NYSE:GME) reports comparable sale fell 16.3% in Q4 amid what the company calls "weak" video game demand.
- Comparable sales were down 20% in the U.S. during the quarter.
- New hardware sales declined 29% and new software sales fell off 19%. Pre-owned sales dropped 6.7% to $680.6M to account for 22.3% of all sales vs. 20.7% last year.
- A bright spot for GameStop in Q4 was the collectibles category, with sales up 28% Y/Y to $212M.
- GameStop expects FY17 revenue of -2% to +2% and FY18 EPS of $3.10 to $3.40 vs. $3.72 consensus. "As we continue our transformation plan, we will also be focused on managing SG&A spend, rationalizing our global store portfolio, and maximizing free cash flow generation to drive shareholder value," says CEO Paul Raines.
- Previously: GameStop beats by $0.09, misses on revenue (March 23)
- Shares of GameStop are down 7.97% AH to $22.05.