GameStop has reported its Q4 2022 earnings results and it spelled good news for shareholders for the most part. Almost all companies have finished reporting on their previous quarters and fiscal years for the latest season, but GameStop was still a prominent one on the ledger. Fortunately for GME shareholders, the company came out ahead on many of its important metrics. Coming off the back of a strong quarter of hardware sales, GameStop put up wins in both revenue and earnings-per-share (EPS) against Wall Street and Whisper Number expectations.
The GameStop company put up its Q4 2022 quarterly earnings results on its investor relations website on March 21, 2023. Where Wall Street and Whisper Number expectations expected GameStop to post losses on EPS, with Wall Street expecting an average loss of $0.13 USD per share and Whisper Number expecting a loss of $0.20 per share, GameStop actually put up gains of $0.16 per share. Meanwhile, the company was able to post net sales of $2.23 billion, beating out Wall Street average estimates of $2.2 billion.
Big contributors to GameStop’s successful Q4 2022 earnings results included hardware sales, which accounted for $1.24 billion of its overall net sales, or about 56 percent. Collectibles were also notable with a bottom line of $313 million, up from Q4 2021’s $279 million. Software was down from the previous year’s quarter, only getting to $670 million, but the other two categories performed more than well enough to make up for it.
It's also worth noting that this was the second quarter in a row that GameStop was able to generate positive cash flow returns with $338.2 million reported in Q3 2022 and $177.3 million reported in Q4 2022.
By many metrics, it was a winning quarter for GameStop and GME shares. As we close out the season of earnings results and prepare for the next quarter, stay tuned to Shacknews for further tech company earnings reporting.