The Clap GameStop reported a Q1-2022 net loss of $158 million, & said its plan to open a non-fungible token (NFT) marketplace by the end of Q2-2022 is still intact.
Earnings Despite the company’s sales increasing slightly year-over-year, its net losses gap was significantly bigger on annual basis.
NFT marketplace rationale Around 49% of total sales come from hardware (gaming consoles & accessories), 35% come from software sales, & a difficult-to-ignore 16% comes from collectible sales, which increased YoY. The strong performance of collectibles might justify GameStop launching an NFT marketplace, where people can buy (collect) & sell NFTs (digital collectibles).
Why this matters The company refused to give forward financial guidance, citing the “current global backdrop”.