GameStop Corp (NYSE:GME) shares moved higher afterhours as the video game retailer posted a profit for the third quarter.
GameStop reported a profit of $17.4 million for the quarter, an improvement from a net loss of $3.1 million in the comparable period in 2023.
Revenue, however, declined year-over-year amid fierce competition from online retail giants. It fell to $860 million from $1.08 billion in the year-ago quarter, short of the $900 million expected by Wall Street analysts.
During the quarter, the company completed its at-the-market offering, selling 20 million shares for proceeds of $400 million. GameStop said it does not expect to carry out any additional at-the-market offerings during this fiscal year.
The quarterly report was welcomed by investors who sent GameStop's shares 11.4% higher to $30 shortly following its release.