GameStop (GME) Q4 2024 earnings summary

Executive summary

• Fourth quarter net sales declined to $1.283 billion from $1.794 billion year-over-year, but net income rose to $131.3 million from $63.1 million.

• Full-year net sales fell to $3.823 billion from $5.273 billion, while net income increased to $131.3 million from $6.7 million.

• Completed divestiture of Italy and wind-down of German operations.

Financial highlights

• Fourth quarter adjusted EBITDA was $96.5 million, up from $88.0 million year-over-year.

• Full-year adjusted EBITDA was $36.1 million, down from $64.7 million in the prior year.

• Cash, cash equivalents, and marketable securities totaled $4.775 billion at quarter-end.

• Free cash flow for the year was $129.6 million, compared to negative $238.6 million last year.

Segment performance

• Hardware and accessories accounted for 54.9% of annual sales, software 26.3%, and collectibles 18.8%.

• All segments saw year-over-year sales declines: hardware and accessories down from $2.997B to $2.100B, software from $1.522B to $1.005B, collectibles from $754M to $718M.