GameStop Corp (GME)
Net profit margin
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 6,700 | -8,200 | -99,800 | -205,700 | -313,100 | -508,800 | -519,500 | -472,400 | -381,300 | -153,300 | -66,700 | -116,400 | -215,300 | -274,800 | -339,400 | -643,400 | -470,900 | -679,600 | -1,084,800 | -694,400 |
| Revenue (ttm) | US$ in thousands | 5,272,800 | 5,705,600 | 5,813,700 | 5,785,900 | 5,927,200 | 5,954,700 | 6,064,900 | 6,112,300 | 6,010,700 | 5,878,900 | 5,587,000 | 5,345,600 | 5,089,800 | 5,161,800 | 5,595,600 | 5,939,300 | 6,466,000 | 7,334,900 | 7,831,800 | 8,047,200 |
| Net profit margin | 0.13% | -0.14% | -1.72% | -3.56% | -5.28% | -8.54% | -8.57% | -7.73% | -6.34% | -2.61% | -1.19% | -2.18% | -4.23% | -5.32% | -6.07% | -10.83% | -7.28% | -9.27% | -13.85% | -8.63% |
February 3, 2024 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $6,700K ÷ $5,272,800K
= 0.13%
GameStop Corp's net profit margin has shown a fluctuating trend over the past few quarters. The company experienced a positive net profit margin of 0.13% in Feb 3, 2024, which indicates that GameStop was able to convert a small portion of its revenue into profit during that period. However, this positive performance contrasts with the negative net profit margins reported in the previous quarters, with the lowest being -13.85% in Nov 2, 2019.
The declining trend in net profit margin from -13.85% to the current 0.13% suggests that GameStop's profitability has been under pressure. A negative net profit margin implies that the company's expenses exceed its revenues, resulting in losses.
It is crucial for GameStop to analyze its cost structure, revenue streams, and operational efficiency to improve its net profit margin and ensure sustainable profitability in the future. Additionally, the company may need to consider strategic initiatives to enhance its financial performance and create long-term value for its shareholders.