GameStop Approves Adding Bitcoin to Treasury Reserves

GameStop Corp. (NYSE: GME) announced that its committee of directors has unanimously approved an update to the company’s concern policy, allowing Bitcoin to beryllium held arsenic a treasury reserve asset. The determination follows a bid of engagements betwixt GameStop Chairman and CEO Ryan Cohen and salient figures similar Michael Saylor successful the Bitcoin industry.

On February 8, Cohen met with Strategy Chairman and well-known Bitcoin advocator Michael Saylor, sparking speculation that GameStop whitethorn beryllium adding BTC to its equilibrium sheet. A mates weeks after, Cohen responded to CoinDesk via a tweet stating “Letter received.” aft receiving a missive from Strive Asset Management CEO Matt Cole, which urged GameStop to follow Bitcoin arsenic a reserve asset.

In its announcement, GameStop noted that its concern argumentation present permits investments successful “certain cryptocurrency assets, including Bitcoin and U.S. dollar-denominated stablecoins.” The institution besides acknowledged associated risks, including the imaginable interaction of these investments connected its fiscal results and interior fiscal controls.

The argumentation update was disclosed alongside the company’s fiscal results for the 4th fourth and afloat fiscal twelvemonth ended February 1, 2025.

For the 4th quarter, GameStop reported nett income of $1.283 billion, a alteration from $1.794 cardinal successful the aforesaid play the anterior year. Selling, wide and administrative (SG&A) expenses fell to $282.5 million, compared to $359.2 cardinal successful the 4th fourth of the erstwhile year. Net income for the 4th was $131.3 million, up from $63.1 cardinal a twelvemonth earlier. Adjusted EBITDA for the 4th was $96.5 million, compared to $88.0 cardinal successful the anterior year’s 4th quarter.

GameStop besides disclosed that it held $4.775 cardinal successful cash, currency equivalents, and marketable securities astatine the extremity of the quarter. The institution completed its exit from Italy and finalized the wind-down of store operations successful Germany during this period.

For the afloat fiscal twelvemonth 2024, GameStop reported nett income of $3.823 billion, down from $5.273 cardinal successful fiscal twelvemonth 2023. SG&A expenses for the twelvemonth were $1.130 billion, compared to $1.324 cardinal successful the anterior year. Net income for the twelvemonth reached $131.3 million, importantly higher than the $6.7 cardinal reported successful fiscal twelvemonth 2023. Adjusted EBITDA for the afloat twelvemonth was $36.1 million, compared to $64.7 cardinal successful the erstwhile year.

The institution has not yet disclosed however overmuch Bitcoin it plans to acquisition oregon erstwhile it volition statesman acquiring BTC, and CEO Ryan Cohen has not yet commented publically connected the summation of Bitcoin to GameStop’s equilibrium expanse astatine the clip of publishing.