Dive Brief:
- After shuttering 727 stores in the U.S. last year, GameStop’s store closures are winding down, according to a Tuesday filing with the U.S. Securities and Exchange Commission. The retailer’s U.S. store footprint is down from 2,915 stores as of February 2024 to 1,598 as of Jan. 31 and the company doesn’t expect to close a significant number of locations in 2026.
- The news comes as GameStop’s fourth quarter net sales dropped nearly 14% year over year to $1.1 billion and net income declined about 3% to $127.9 million, according to a Tuesday press release. For the full fiscal year, net sales dropped about 5% to $3.63 billion while net income improved over 200% reaching $418.4 million.
- The gaming retailer also closed store operations in New Zealand during the fourth quarter and continues to evaluate its businesses outside the U.S. GameStop’s international footprint now consists of 308 stores in France and 300 in Australia. GameStop did not hold a conference call.
Dive Insight:
GameStop’s significant store closures during the last year add to the nearly 600 U.S. locations that shuttered in fiscal year 2024.
The retailer has also been slimming down its international operations. GameStop sold its Canadian business last May and also exited from operations in Ireland, Switzerland, Austria, Germany and Italy over the past three years.
The company announced in 2025 that it planned to sell off its operations in France as well and has signed an agreement related to the potential sale with a strategic buyer, per its latest 10-K filing.
GameStop’s Bitcoin investment also dropped in value again during the latest quarter.
Its Q3 earnings release in December showed the value of its Bitcoin holdings dropped from $528.6 million in Q2 to about $519.4 million. At the closing of its fourth quarter, those holdings were valued at about $368 million.
GameStop’s fourth quarter demonstrated again how vital collectibles have become for the retailer. The category made up 33.1% of its net sales — an increase from 21.1% during the same period the year prior — while hardware and accessories made up 48.5%, marking a decrease from 56.6% in Q4 of 2024.
