GameStop's Second Quarter Results Exceed Expectations

GameStop reported second-quarter fiscal 2026 financial results that beat analysts' expectations. Adjusted earnings per share came in at $0.27, compared to a consensus estimate of $0.19. Revenue reached $790.2 million, also surpassing the projected $756.8 million.

However, revenue declined 18.7% year-over-year — down from $972.2 million in the same quarter last year. The company attributed the decline to the fading effect of last year's Nintendo Switch 2 launch, planned store closures, and the divestiture of its France business.

Notable growth was recorded in the collectibles segment. Sales in this category rose 57% year-over-year to $356.3 million, accounting for 45.1% of GameStop's total sales, compared to just 23.4% a year earlier.

The company's operating profit came in at $160.2 million — which GameStop states is a record for a second quarter in its history. Operating profit in the same period last year was $66.4 million.

GameStop also raised its fiscal 2026 adjusted EBITDA guidance, now expecting more than $650 million, up from its previous forecast of more than $600 million. Second-quarter adjusted EBITDA reached $174 million, a sharp increase from $75.7 million a year earlier.

The company's financial position also looks strong: as of August 1, GameStop held $5.4 billion in cash, marketable securities, digital assets, and related receivables. The company also held approximately 43.4 million shares of eBay, with a fair value of approximately $4.9 billion.