GameStop Corp. (NYSE: GME) introduced that its board of administrators has unanimously accepted an replace to the corporate’s funding coverage, permitting Bitcoin to be held as a treasury reserve asset. The choice follows a collection of engagements between GameStop Chairman and CEO Ryan Cohen and distinguished figures like Michael Saylor within the Bitcoin trade.
On February 8, Cohen met with Technique Chairman and well-known Bitcoin advocate Michael Saylor, sparking hypothesis that GameStop could also be including BTC to its stability sheet. A pair weeks after, Cohen responded to CoinDesk by way of a tweet stating “Letter obtained.” after receiving a letter from Try Asset Administration CEO Matt Cole, which urged GameStop to undertake Bitcoin as a reserve asset.
In its announcement, GameStop famous that its funding coverage now permits investments in “sure cryptocurrency belongings, together with Bitcoin and U.S. dollar-denominated stablecoins.” The corporate additionally acknowledged related dangers, together with the potential influence of those investments on its monetary outcomes and inner monetary controls.
The coverage replace was disclosed alongside the corporate’s monetary outcomes for the fourth quarter and full fiscal yr ended February 1, 2025.
For the fourth quarter, GameStop reported web gross sales of $1.283 billion, a lower from $1.794 billion in the identical interval the prior yr. Promoting, normal and administrative (SG&A) bills fell to $282.5 million, in comparison with $359.2 million within the fourth quarter of the earlier yr. Web earnings for the quarter was $131.3 million, up from $63.1 million a yr earlier. Adjusted EBITDA for the quarter was $96.5 million, in comparison with $88.0 million within the prior yr’s fourth quarter.
GameStop additionally disclosed that it held $4.775 billion in money, money equivalents, and marketable securities on the finish of the quarter. The corporate accomplished its exit from Italy and finalized the wind-down of retailer operations in Germany throughout this era.
For the total fiscal yr 2024, GameStop reported web gross sales of $3.823 billion, down from $5.273 billion in fiscal yr 2023. SG&A bills for the yr had been $1.130 billion, in comparison with $1.324 billion within the prior yr. Web earnings for the yr reached $131.3 million, considerably larger than the $6.7 million reported in fiscal yr 2023. Adjusted EBITDA for the total yr was $36.1 million, in comparison with $64.7 million within the earlier yr.
The corporate has not but disclosed how a lot Bitcoin it plans to buy or when it would start buying BTC, and CEO Ryan Cohen has not but commented publicly on the addition of Bitcoin to GameStop’s stability sheet on the time of publishing.
