GameStop reported fourth-quarter sales that missed analysts’ estimates but said things were off to a “strong start” in the new year.
Net income was $80.5 million, or $1.19 per diluted share in the quarter ended and included a $1.03 per share tax benefit as compared to diluted earnings per share of $0.32 in the year-ago quarter. Adjusted net income was $90.7 million or $1.34 per diluted share, compared to adjusted net income of $83.8 million or $1.27 per diluted share in the prior-year fourth quarter.
Net sales fell to $2.122 billion from $2.194 billion last year, missing Street estimates of $2.21 billion. The videogame retailer attributed the decline to a 12% decrease in its store base and an approximate 27% reduction in store operating days in Europe due to temporary store closures in response to the COVID-19 pandemic. Comparable store sales rose 6.5%.Chain Storeage