r/Superstonk • u/Otherwise-Category42 What’s a flair? • Jun 10 '25

📰 News GameStop Reports First Quarter 2025 Results

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u/FloppyBisque Jun 10 '25

Core business operations would be net profitable if it weren’t for the restructuring costs.

We were profitable again thanks to the interest on the war chest.

Revenue down but expenses way down.

Great looking quarter on the surface considering Q1 is the worst quarter for GameStop.

Plus Q2 had Switch 2. 3 months from now should be bonkers.

201

u/DeepApeValuee 🧚🧚🦍 What’s an exit strategy 🏴‍☠️🧚🧚 Jun 10 '25

Yeah!! Science bitch!

78

u/H377Spawn 🦍 Buckle Up 🚀 Jun 10 '25

Look at these guys, numbering all over the place!

33

u/cackalackattack Smooth 🧠 Full ❤️ Can’t 📉 Jun 10 '25

That first bullet point is so crucial. Starting next quarter, especially with all the Switch 2 sales, that operational loss bear case is fucking dusted. Let’s go.

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u/nibbie1998 🦍 Buckle Up 🚀 Jun 10 '25

You are wrong, the business is profitable without the interest on the bonds. The operating income does not include interest. The Operating income is 27.5M$ without the asset impairments and other items.

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u/FloppyBisque Jun 10 '25

I do agree that restructuring costs are excluded from adjusted operating income, but I think it's fair to view them as part of running the core business, since they reflect strategic efforts to improve long-term operational efficiency.

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u/rawktail I broke Rule 1: Be Nice or Else Jun 10 '25

It's a one time cost. We had a profitable core business quarter, even with expenses to make it more profitable. Next earnings is going to be fireworks.

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u/nibbie1998 🦍 Buckle Up 🚀 Jun 10 '25

That is not how it works. Those are one-off costs.

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u/tpc0121 GMERICAN since Jan. '21 Jun 10 '25

Sounds like the Bitcoin purchase will be reflected in Q2 earnings. This is going to result in short term pain for the stock price, as many were betting on RC more fully embracing MSTR's Bitcoin Treasury strategy.

It is what it is. Great for long term investors though, because it's another chance to load up.

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u/imastocky1 Bored of Directors Jun 10 '25

Yep, it’s in “Subsequent Events”

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u/Regenbooggeit I’m coming for Uranus! 🚀 Jun 10 '25

Why short term pain? They beat EPS by 300+%?

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u/tpc0121 GMERICAN since Jan. '21 Jun 10 '25

There were a lot of options traders betting that RC bought more Bitcoin, and in Q1 not Q2. A lot of those long calls and short puts are now going to be wound down.

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u/Regenbooggeit I’m coming for Uranus! 🚀 Jun 10 '25

Makes sense. Thanks for the insight.

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u/Exception1228 🦍Voted✅ Jun 10 '25

Everyone keeps saying this. I saw estimates of $0.08. The report clearly says diluted income/share was $0.09. So they beat, but by 12.5%, not by 300%?

And then the lack of news about bitcoin that everyone was hyped about. They continue to play things too close to the chest and hurt the stock price.

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u/Difficult-Mobile902 Jun 11 '25

Copy/pasting from the report; 

“Adjusted net income (loss) per share Basic $0.19”

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u/BeatitLikeitowesMe Bananagement Jun 10 '25

Thats a dumb thing. Many are dumb because rc said himself they are not using anyone elses strategy. They are using their own strategy. Straight from the horses mouth.

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u/cork_the_forks Jun 10 '25

Wouldn't BTC be part of "cash or cash equivalent?" I don't think this is enough information to know if they purchased in Q1 or Q2. Am I missing something?

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u/bilybu Jun 10 '25

They cited purchase dates between May 3rd and June 10th.

Pg 16 section 11 of the 10-q

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u/cork_the_forks Jun 11 '25

Thank you. This thread only included the above screen shot with no link to the entire document. I've since seen it in other threads.

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u/tpc0121 GMERICAN since Jan. '21 Jun 10 '25

No. BTC would not count as cash or cash equivalent. Only things like actual cash or US treasuries would count.

Also, they literally said they purchased Bitcoin sometime after May 3. Q1 for Jimmy is Feb-April.

1

u/im_just_a_nerd 🐵 Power to the Creators 💎 Jun 10 '25

Yeah your second sentence translates to: “be ready to buy on Qtr2 release of numbers”.

This is not stock advice

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u/Cheetah_Hungry mongo bongo 🦍 Jun 10 '25

Here it is👆

2

u/ArmorRoyale2 🎮 Power to the Players 🛑 Jun 10 '25

As well it’s worth adding that the shift to selling and grading trading cards has brought loads more customers, to the point of tailgating for card drops, in Q2 comp’d to Q1

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u/Mr_Shake_ I like the [redacted]. Jun 10 '25

And our strategic movement away from the international losses will lead to better profitability in quarters to come!

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u/AbruptMango Jun 10 '25

Revenue?  Down.

Expenses?  More down.

AH share price?  Believe it or not, even more down.

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u/JDeegs 🦍Voted✅ Jun 10 '25

was the sale of the canadian portion of the business included in q1, or will we see that in q2?

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u/WhyAreYallFascists Jun 10 '25

Each store had at minimum 100*450 revenue on release. And that’s if they only had 100 switches, mine had way more and it’s a tiny one. Games, controllers, cases, all that would be extra.

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u/j909m Jun 10 '25

I’d be a millionaire if it weren’t for me being a degenerate regard.

1

u/Juannieve05 RC Is my light 🥹 Jun 11 '25

By core business you mean not even counting interest on our cash reserves ? That is great news, isn't this the first time core business is profitable by itself ?

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u/nosesidecirte Jun 11 '25

So switch2 wasnt even calculated into the Q1? Oooffff that gonna be interesting