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GameStop reports big 4Q loss as supply chain constraints and Omicron wreaks havoc on holiday season

CEO Matt Furlong acknowledged the impact of supply chain problems in a conference call with investors

GameStop Corp (NYSE:GME) shares sank on Friday morning after the company reported a fiscal 4Q net loss of $147.5 million, pressured by supply constraints.

The 4Q loss was in sharp contrast to the corresponding quarter last year when it reported a $80.5 million profit.

Shares of the former “stonk” were down over 5% on Friday morning after the financial results were posted on Thursday aftermarket.

READ: GameStop surges on reports of imminent crypto and NFT ventures

During the 13-week period to end January 29, 2022, the video game retailer saw sales increase slightly to $2.25 billion compared to $2.12 billion in 4Q 2021.

CEO Matt Furlong acknowledged the impact of supply chain problems in a conference call with investors.

"The combination of supply chain issues and the Omicron variant had a sizable impact on this past year's holiday season," Furlong told investors.

The firm is hoping to beef up its e-commerce presence and plans to launch a marketplace for non-fungible tokens, or NFTs, by the end of its fiscal 2Q 2022.

Contact Angela at angela@proactiveinvestors.com

Follow her on Twitter @AHarmantas

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