On 8th September, the GME Q2 2021 Earnings call took place, lasting just 8 short minutes. During this time, we confirmed what we Apes already knew… that GME is doing great, despite the hedgies desire to short the company into oblivion, as well as the ongoing impact of Covid on the business.
GME Q2 2021 Earnings as posted by GameStop
SECOND QUARTER OVERVIEW
The GameStop website is reporting the following information, which was provided in the earnings call:
- Generated net sales of $1.183 billion, compared to $942 million in the prior year’s second quarter.
- Ended the period with cash and restricted cash of $1.78 billion.
- Ended the period with no long-term debt, other than a $47.5 million low-interest loan associated with the French government’s pandemic response.
- Invested in long-term growth initiatives that include expanding the Company’s product catalog, enhancing its fulfillment network capabilities and technology, and adding talent across the organization.
- Entered into a lease of a new 530,000 square foot fulfillment center in Reno, Nevada, positioning the Company’s fulfillment network to span both coasts of the continental U.S.
- Entered into a lease of a new customer care center in Pembroke Pines, Florida and started building out U.S.-based customer care operations.
The full information, including company financials can be found on the GameStop website here.
Summary of the Earnings Call by a random Redditor
Here are the key takeaways of the GME Q2 2021 Earnings report, with this summary being helpfully provided by u/SimplisticPlastic on Reddit.
Thanks to this user, and once again, we would remind you of 2 things: (1) Apes Army does not endorse anything said by anyone ever, nor do we take any credit whatsoever for any of the DD that goes about, we simply post what others are saying and occasionally provide a bit of context for readers and (2) This is not financial advice, and you should always do your own research. With that said, lets get into the short rundown:
It lasted a total of 8ish minutes. In the spirit of GME they kept it short.
Main focus points of the company:
- Delighting customers.
- Creating value for shareholders.
Very much in the vein of Ryan Cohen, and exactly what I hoped to hear them say during this call.
They iterated over the numbers, which has already been floating around on the GME subs for the past hour or so, since they are released prior to the call, so nothing unexpected in that regard.
GME share price saw some volatility during the last hour of market open, and wild fluctuations into after hours. It was down about $5-$10 just prior to the earnings call, and as expected started tanking the moment the call was over, sitting around $178 at the time of writing (roughly 15ish minutes after the call finished).
Furlong definitely did a better job than the old CEO. He was to the point, and actually cared to mention shareholders this time. This indicates to me that he knows his audience, and I see that as a healthy step in the right direction.
All in all, nothing unexpected in the earnings call this time around. I enjoyed hearing the voice of the new CEO, and I’m as bullish as ever. He thanked the employees of the company for aiding in the turnaround, and generally gave off the impression that he has his finger on the pulse.
Here’s the link if you missed it (skip to 41:30):
Power to the Players. Power to Furlong and Cohen, we believe in you!
I like the stock!
This information relating to the GME Q2 2021 Earnings call and subsequent information is mostly taken from Reddit and the GameStop website. Apes Army does not endorse any of the information contained within, and it’s posted here mainly for posterity.