GameStop reduces costs to cope with a drop in console sales

The retailer also did not expect an improvement in the situation. He also unveiled a series of cost-cutting measures to stay afloat, including the elimination of the company's stock dividend (potentially saving $ 157 million a year) and the merger of ThinkGeek's online collection sales. with the main GameStop website. A few days earlier, GameStop had reshuffled its leadership with the creation of new Customer Manager and Marketing Manager positions, as well as a new Chief Financial Officer.

Hardware sales are likely to increase as the new systems arrive, likely towards the end of 2020. However, the fall in profits also reflects the fragility of GameStop at a time when game downloads are replacing physical copies. Consoles sales are much more important nowadays, and it is a problem in case of material transition.