Videogame retailer GameStop misses quarterly revenue estimates (updated)

Bandai Namco Holdings

10/09/2024 21:12

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       Sept 10 (Reuters) - Videogame retailer GameStop  GME.N 
missed Wall Street expectations for quarterly revenue on
Tuesday, as consumers moved away from traditional brick and
motor stores to online purchasing.  
    The company has been struggling with declining sales in its
primary business of selling new and used video game discs due to
a shift towards digital downloads and game streaming.
    GameStop CEO Ryan Cohen told investors in June the company
intends to operate a smaller number of stores as competition
remains intense in the gaming console market.
    It has also been grappling with customers turning to
e-commerce firms for buying video games and collectibles.
    The company reported revenue of $798.3 million for the
second quarter, compared with $1.16 billion in the same quarter
a year earlier. This was below estimates of $895.7 million,
according to two analysts polled by LSEG.
    Shares of the Grapevine, Texas-based company fell 2% in
extended trading.
    


 (Reporting by Harshita Mary Varghese in Bengaluru; Editing by
Shinjini Ganguli)
 ((HarshitaMary.Varghese@thomsonreuters.com;))