As is customary, companies release their earnings every quarter in order to inform investors and share the state of the business. One of the most talked about stocks in recent memory is GameStop (GME), as it’s ongoing volatility has sparked much debate in both financial and political spaces. GameStop dropped its Q4 2020 earnings as well as held an earnings call, where it was announced that 34 percent of the company’s sales last quarter were e-commerce.
This news comes directly from GameStop’s (GME) Q4 2020 earnings report, which was released on March 23, 2020. In the report, it’s stated that “Global E-Commerce sales increased 175% and represented 34% of net sales in the fiscal 2020 fourth quarter.” E-commerce is the electronic (typically online) sale of goods or a product.
Though GameStop is the last major video game-centric brick and mortar retailer left in the United States, it saw a massive uptick in electronic sales over the last quarter. This can likely be greatly attributed to the pandemic, as more people looked to do their shopping online instead of visit stores in-person. Last quarter also saw the launch of the PS5 and Xbox Series X, which undoubtedly led to a spike in e-commerce sales for the company.
With the consoles remaining in high demand, and the pandemic still a very real threat to in-person gathering, it will be interesting to see how GameStop’s e-commerce business does in the future. During the call, GameStop also expressed its intentions to start moving towards selling PC gaming gear, including monitors and more.