GameStop Corp (GME)
Operating return on assets (Operating ROA)
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | -17,600 | -42,200 | 42,900 | 50,200 | 86,100 | 14,300 | -62,600 | -106,300 | -150,000 | -87,200 | -24,400 | -62,300 | -100,200 | -251,700 | -405,700 | -463,100 | -533,600 | -595,100 | -590,200 | -539,400 |
| Total assets | US$ in thousands | 5,875,400 | 6,240,200 | 5,536,300 | 2,587,100 | 2,709,000 | 2,837,400 | 3,146,900 | 3,146,900 | 2,803,700 | 2,803,700 | 3,070,200 | 3,070,200 | 3,113,400 | 3,113,400 | 3,322,500 | 3,322,500 | 2,799,500 | 2,799,500 | 3,125,500 | 3,499,300 |
| Operating ROA | -0.30% | -0.68% | 0.77% | 1.94% | 3.18% | 0.50% | -1.99% | -3.38% | -5.35% | -3.11% | -0.79% | -2.03% | -3.22% | -8.08% | -12.21% | -13.94% | -19.06% | -21.26% | -18.88% | -15.41% |
January 31, 2025 calculation
Operating ROA = Operating income (ttm) ÷ Total assets
= $-17,600K ÷ $5,875,400K
= -0.30%
GameStop Corp's operating return on assets (ROA) has experienced fluctuations over the period from January 31, 2022, to January 31, 2025. The trend shows a decline from negative values to positive territory before dropping back into negative territory.
The operating ROA was as low as -21.26% on July 30, 2022, indicating that the company was not efficient in generating operating income relative to its assets during that period. However, a slight improvement was seen by January 31, 2024, where the operating ROA reached 0.50% and further improved to 3.18% by February 3, 2024, showcasing a better ability to generate operating income from its assets.
Subsequently, the operating ROA decreased to 0.77% by July 31, 2024, and further declined to -0.30% by January 31, 2025. This suggests that GameStop Corp's ability to generate operating income from its assets deteriorated in the later part of the analyzed period.
In conclusion, GameStop Corp's operating ROA has shown variability over the analyzed period, reflecting fluctuations in the company's efficiency in using its assets to generate operating income. It is essential for stakeholders to monitor these trends to assess the company's operational performance and profitability.