# GameStop Corp. (GME) Q2 2025 Financial Results Summary
GameStop Corp. (NYSE: GME) released its financial results for the second quarter ended August 2, 2025, on September 9, 2025. Below is a summary of the key metrics and insights from the report.
## Second Quarter Overview
– **Net Sales**:
– $972.2 million, up **21.8%** from $798.3 million in Q2 2024.
– **Selling, General and Administrative (SG&A) Expenses**:
– $218.8 million, down **19.2%** from $270.8 million in Q2 2024.
– **Operating Income**:
– $66.4 million, compared to an operating loss of $22.0 million in the same quarter last year.
– Adjusted operating income (excluding impairments and other items): $64.7 million, improved from an adjusted operating loss of $31.6 million in Q2 2024.
– **Net Income**:
– $168.6 million, significantly up from $14.8 million in Q2 2024.
– Adjusted net income (excluding impairments, unrealized gain on digital assets, and other items): $138.3 million, increased from $5.2 million in Q2 2024.
– **Cash, Cash Equivalents, and Marketable Securities**:
– $8.7 billion at the close of Q2 2025, compared to $4.2 billion at the close of the same quarter last year.
– **Bitcoin Holdings**:
– Valued at $528.6 million at the close of Q2 2025.
## Financial Metrics
– **Cost of Sales**:
– 70.9% of net sales, up from 68.8% in Q2 2024.
– **Gross Profit**:
– Represented **29.1%** of net sales this quarter, down from **31.2%** in Q2 2024.
– **Net Income as a Percentage of Net Sales**:
– 17.3% in Q2 2025, a growth from 1.9% in Q2 2024.
## Non-GAAP Measures and Other Metrics
– **Adjusted SG&A Expenses**:
– $218.4 million compared to $280.4 million in Q2 2024.
– **Free Cash Flow**:
– $113.3 million in Q2 2025, up from $65.5 million in Q2 2024.
– **Adjusted EBITDA**:
– $75.7 million compared to a loss of $18.0 million in Q2 2024.
## Earnings Per Share
– **Net Income Per Share**:
– Basic income per share: $0.38 (an increase from $0.04 in Q2 2024).
– Diluted income per share: $0.31 (an increase from $0.04 in Q2 2024).
## Stockholder Information
– **Dividends**:
– There was no quarterly dividend declared in the financial results.
– **Share Repurchase**:
– There was no mention of any share repurchase program in the financial results.
## Summary
GameStop demonstrated strong revenue growth and a significant recovery in profitability during Q2 2025. The company reported higher net sales, improved operational efficiency, and a remarkable increase in net income compared to the same period last year. The strong liquidity position, highlighted by an increase in cash and cash equivalents, coupled with substantial Bitcoin holdings, positions the company well moving forward. GameStop continues to focus on its transformation strategies while optimizing costs.
Here are the extracted tables from the press release:
### Condensed Consolidated Statements of Operations
(in millions, except per share data)
| 13 Weeks Ended | 13 Weeks Ended | |
|---|---|---|
| August 2, 2025 | August 3, 2024 | |
| Net sales | $972.2 | $798.3 |
| Cost of sales | $689.1 | $549.5 |
| Gross profit | $283.1 | $248.8 |
| Selling, general and administrative expenses | $218.8 | $270.8 |
| Asset Impairments | -$2.1 | $— |
| Operating income (loss) | $66.4 | -$22.0 |
| Interest income, net | -$79.6 | -$39.5 |
| Unrealized gain on digital assets | -$28.6 | $— |
| Income before income taxes | $174.6 | $17.5 |
| Income tax expense | $6.0 | $2.7 |
| Net income | $168.6 | $14.8 |
| Net income per share: | ||
| Basic Income per share | $0.38 | $0.04 |
| Diluted income per share | $0.31 | $0.04 |
| Weighted-average common shares outstanding: | ||
| Basic | 447.4 | 386.4 |
| Diluted | 546.5 | 387.2 |
| Percentage of Net Sales: | ||
| Net sales | 100.0% | 100.0% |
| Cost of sales | 70.9 | 68.8 |
| Gross profit | 29.1 | 31.2 |
| Selling, general and administrative expenses | 22.5 | 33.9 |
| Asset Impairments | -0.2 | $— |
| Operating income (loss) | 6.8 | -2.8 |
| Interest income, net | -8.2 | -4.9 |
| Unrealized gain on digital assets | -2.9 | $— |
| Income before income taxes | 18.0 | 2.2 |
| Income tax expense | 0.6 | 0.3 |
| Net income | 17.3% | 1.9% |
| 26 Weeks Ended | 26 Weeks Ended | |
| August 2, 2025 | August 3, 2024 | |
| Net sales | $1,704.6 | $1,680.1 |
| Cost of sales | $1,168.7 | $1,186.8 |
| Gross profit | $535.9 | $493.3 |
| Selling, general and administrative expenses | $446.9 | $565.9 |
| Asset Impairments | $33.4 | $— |
| Operating income (loss) | $55.6 | -$72.6 |
| Interest income, net | -$136.5 | -$54.4 |
| Unrealized gain on digital assets | -$28.6 | $— |
| Other income, net | -$2.2 | $— |
| Income (loss) before income taxes | $222.9 | -$18.2 |
| Income tax expense (benefit) | $9.5 | -$0.7 |
| Net income (loss) | $213.4 | -$17.5 |
| Net income (loss) per share: | ||
| Basic Income (loss) per share | $0.48 | -$0.05 |
| Diluted income (loss) per share | $0.42 | -$0.05 |
| Weighted-average common shares outstanding: | ||
| Basic | 447.3 | 346.2 |
| Diluted | 506.2 | 346.2 |
| Percentage of Net Sales: | ||
| Net sales | 100.0% | 100.0% |
| Cost of sales | 68.6 | 70.6 |
| Gross profit | 31.4 | 29.4 |
| Selling, general and administrative expenses | 26.2 | 33.7 |
| Asset Impairments | 2.0 | $— |
| Operating income (loss) | 3.3 | -4.3 |
| Interest income, net | -8.0 | -3.2 |
| Unrealized gain on digital assets | -1.7 | $— |
| Other income, net | -0.1 | $— |
| Income (loss) before income taxes | 13.1 | -1.1 |
| Income tax expense (benefit) | 0.6 | $— |
| Net income (loss) | 12.5% | -1.0% |
### Condensed Consolidated Balance Sheets
(in millions)
| August 2, 2025 | August 3, 2024 | |
|---|---|---|
| ASSETS: | ||
| Current assets: | ||
| Cash and cash equivalents | $8,694.4 | $4,193.1 |
| Marketable securities | $— | $11.1 |
| Receivables, net of allowance of $0.9 and $4.4, respectively | $45.5 | $59.7 |
| Merchandise inventories, net | $484.9 | $560.0 |
| Prepaid expenses and other current assets | $36.6 | $60.0 |
| Assets held for sale | $177.0 | $2.1 |
| Total current assets | $9,438.4 | $4,886.0 |
| Property and equipment, net of accumulated depreciation of $567.2 and $846.0, respectively | $52.3 | $78.9 |
| Digital assets | $528.6 | $— |
| Operating lease right-of-use assets | $249.9 | $490.9 |
| Deferred income taxes | $18.8 | $17.5 |
| Other noncurrent assets | $53.1 | $63.0 |
| Total assets | $10,341.1 | $5,536.3 |
| LIABILITIES AND STOCKHOLDERS’ EQUITY: | ||
| Current liabilities: | ||
| Accounts payable | $292.9 | $220.5 |
| Accrued liabilities and other current liabilities | $283.8 | $377.8 |
| Current portion of operating lease liabilities | $101.5 | $174.2 |
| Current portion of long-term debt | $— | $11.0 |
| Liabilities held for sale | $151.7 | $— |
| Total current liabilities | $829.9 | $783.5 |
| Long-term debt, net | $4,160.9 | $12.4 |
| Operating lease liabilities | $155.5 | $335.9 |
| Other long-term liabilities | $18.4 | $21.1 |
| Total liabilities | $5,164.7 | $1,152.9 |
| Total stockholders’ equity | $5,176.4 | $4,383.4 |
| Total liabilities and stockholders’ equity | $10,341.1 | $5,536.3 |
