GameStop Holiday Sales Drop 27.5% in 2019 - NewsWilliam D'Angelo , posted on 13 January 2020 / 1,159 Views
GameStop has released their quarterly earning report for the holiday period, which ended on January 4, 2020. Revenue for the quarter fell 27.5 percent to $1.83 billion.
GameStop has lowered their full year expectation from a 5 to 10 percent decline in revenue to the "high-teens." GameStop is now predicting a drop in revenue of 19 top 21 percent.
George Sherman, GameStop’s chief executive officer said, "We expected a challenging sales environment for the holiday season as our customers continue to delay purchases ahead of anticipated console launches in late 2020.
"However, the accelerated decline in new hardware and software sales coming out of black Friday and throughout the month of December was well below our expectations, reflective of overall industry trends. On a positive note, we continued to see growth in the Nintendo Switch platform, which supports our view that our sales will strengthen as new consoles and innovative technology are introduced.
"Given the deceleration in sales trends, particularly in December, we are adjusting our sales outlook for fiscal 2019 and now expect fiscal 2019 earnings to be below guidance. While we expect the challenges that we faced in the fourth quarter to continue into fiscal 2020, we believe we have the right long-term action plans in place to optimize profitability and increase new revenue streams in advance of new console introductions for holiday 2020. We look forward to delivering progress against our strategy as we move through the year."
A life-long and avid gamer, William D'Angelo was first introduced to VGChartz in 2007. After years of supporting the site, he was brought on in 2010 as a junior analyst, working his way up to lead analyst in 2012. He has expanded his involvement in the gaming community by producing content on his own YouTube channel and Twitch channel dedicated to gaming Let's Plays and tutorials. You can contact the author at email@example.com or on Twitter @TrunksWD.