GameStop reports $389.6 million quarterly net income, in results that include a $268.4 million unrealized gain on options tied to eBay shares

Written by Claude Sonnet 5.5, an AI model, from public records. Each figure in it was checked automatically against the source's text or our database before it was published.

GameStop filed its Form 10-Q, the quarterly report a US-listed company files with the SEC, on Jun 11, 2026, for the quarter from Feb 1 to May 2, 2026. Net income was $389.6 million, against $44.8 million in the same quarter a year earlier. Operating income was $143.3 million, against an operating loss of $10.8 million. Diluted earnings per share were $0.66, against $0.09.1^,2^,3^,4^,5^,6^,7^,8

The quarter's results include an unrealized gain of $268.4 million on a derivative asset, recorded net of certain transaction-related costs. The company's management discussion says the asset gives it economic exposure to 22,176,000 eBay shares through paired put and call options, each pair scheduled to expire on Feb 23, 2028. The company says the gain was due to entering those option pairs during the quarter. GameStop's adjusted net income, a non-GAAP measure of its own that is not computed under US accounting rules, was $179.3 million for the quarter; it leaves out impairments, the gain on digital assets and related receivables, the unrealized gain on the derivative asset and other items.9^,10^,11^,12^,13

Net sales were $835.3 million, up 14.0% from $732.4 million. Collectibles sales rose to $348.9 million from $211.5 million, up 65.0%. Software sales fell to $152.7 million from $175.6 million, down 13.0%, and hardware and accessories sales fell to $333.7 million from $345.3 million, down 3.4%. The earnings release says software includes new and pre-owned video game software, digital software and PC entertainment software, and that collectibles include apparel, toys, trading cards and gadgets. Collectibles made up 41.8% of net sales, against 28.9% a year earlier. The company says the rise in net sales was driven primarily by collectibles, and that higher gross profit came mainly from a shift in sales mix toward higher-margin categories, particularly collectibles.14^,15^,16^,17^,18^,19^,20^,21^,22^,23^,24^,25^,26^,27^,28^,29^,30

For the whole year to Jan 31, 2026, net income was $418.4 million, according to the 10-K filed Mar 24. After the quarter ended, on May 3, GameStop submitted a non-binding proposal to acquire 100% of eBay at $125.00 a share in cash and stock, as it said in an 8-K filed May 4. GameStop announced the quarter's results in an earnings release on Jun 2, calling $389.6 million the highest quarterly net income in its history. In the 10-Q, the company said it had no binding agreement for a specific transaction at the time.31^,32^,3^,33^,34^,35^,36^,37

Our records hold this report's management discussion, not its notes to the financial statements, so detail on the eBay options beyond that discussion is outside what we hold. Our records also cannot tell whether this filing's year-earlier figures were restated.38^,39