By Dhirendra Tripathi
Investing.com – GameStop stock (NYSE:GME) plunged 9% in Thursday’s premarket session as the company’s second-quarter update failed to answer that one question every fan of the games retailer has been asking – what about the turnaround?
Net sales jumped 26% to $1.18 billion and the company ended the quarter with more than double the cash it had at end of April while carrying no long-term debt. But that didn’t satisfy its legion of followers from social media platforms.
Promising a pivot to online retailing of games, the company has revamped its top management, raised funds, expanded its product catalog, enhanced its customer care and taken on leases for new properties to cater to new geographies and buyers. But the real push to take on big rivals like Microsoft (NASDAQ:MSFT) (NASDAQ:MSFT) (Xbox) hasn’t yet come.
Investors expected a lot when Chief Executive Officer Matt Furlong began his call to discuss the second-quarter results with analysts. It lasted less than 10 minutes, according to Reuters.
GameStop posted a bigger-than-expected adjusted loss of 76 cents per share.