GameStop Aims to Launch NFT Market After Big Loss In Q4

Much-loved retail video game store chain GameStop (GME) is targeting the long-anticipated NFT market and Web3 gaming unit after a net loss of $147.5 million in Q4 2021.

GameStop quietly builds a naked opportunity NFT website mid-2021 but significantly ramped up efforts this year after launch of NFT and Web3 gaming division in January with create a great partnership with Ethereum (ETH) the solution extends Immutable X next month to build the NFT marketplace.

As part of its Q4 results – which ended on January 29 and announced on March 17 – GameStop revealed that it intends to market NFT by the end of Q2 2022.

The company also highlighted that the Immutable X deal is set to take the company’s $150 million worth of IMX tokens based on “the achievement of certain milestones” and noted that it has hired ” dozens of additional individuals with experience in areas such as blockchain gaming, e-commerce and technology, operations and product refurbishment. ”

GameStop’s $147.5 million net loss is 83% lower year-over-year, while loss of $1.94 per share to sit fell short of Wall Street’s expectations for earnings of $0.84 per share.

GME’s price appears to have been significantly impacted by the release of GameStop’s Q4 financials, with the price dropping by 7.31%, to around $81.29 at press time. GME is on a strong downtrend this year despite positive developments in its Web3 initiatives, with prices down more than 40% since early January.

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Digging deeper into the report, GameStop posted $2.254 billion in revenue last quarter, up slightly from $2.122 billion a year earlier. One big hitch to the latest figure was selling expenses of $1.87 billion, while selling, general and administrative expenses totaled $538.9 million.

The company was able to raise more than $1.67 billion in capital sufficient to eliminate “all of the Company’s long-term debt, other than a $44.6 million low-interest, unsecured term loan. la regarding the French government’s response to COVID-19. ”

Although a Downtrend in the NFT market Over the past few months, GameStop partner Immutable X has been going strong, the company announced $200 million Series C funding round with a valuation of $2 billion on March 8, causing the IMX price to surge 50% within 24 hours about $1.78. Since then, the price has dropped to around $1.54.