GameStop Reports Preliminary Q2 Results, Boosted by eBay Investment
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GameStop Reports Preliminary Q2 Results, Boosted by eBay Investment
- GameStop anticipates net income between $290 million and $310 million for the second quarter ended August 1, 2026, significantly higher than $168.6 million in the same period last year.
- This increase in net income is largely attributed to approximately $238 million in net gains from its eBay derivative asset and equity investment, despite a $75 million loss on digital assets and related receivables.
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GameStop Corp. announced preliminary unaudited financial results for its second quarter, which ended on August 1, 2026. The company expects net sales to be in the range of $780 million to $800 million, a decrease from $972.2 million in the prior year’s second quarter. This decline is primarily due to the launch of the Nintendo Switch 2 in the previous year, planned store closures, and the divestiture of its operations in France.
Despite the drop in net sales, operating income is projected to be between $150 million and $170 million, an increase from $66.4 million in the second quarter of 2025. The substantial boost to net income comes from gains related to GameStop’s investment in eBay. During the quarter, GameStop converted a previously disclosed derivative position related to eBay into a direct equity investment. As of August 1, 2026, GameStop held approximately 43.4 million shares of eBay common stock, with a fair value of about $4.947 billion.
The company’s preliminary results also indicate that cash, cash equivalents, and marketable securities are expected to be in the range of $5.050 billion to $5.070 billion, compared to $8.694 billion at the close of the prior year’s second quarter. This decrease largely reflects the conversion into the direct eBay equity stake. GameStop expects to release its complete second-quarter results on September 8, 2026.