GameStop shares fell over 3.5% in after-hours trading after the video game retailer reported lower than expected Q1 revenues of $732.4 million, missing estimates of $754.2 million and representing a 17% decline from $881.8 million a year prior. Despite the revenue drop, GameStop reported a net income of $44.8 million, a turnaround from a net loss of $32.3 million in the same quarter last year. Operating losses improved to $10.8 million compared to $50.6 million the previous year. GameStop has significant cash reserves of $6.4 billion, up from $1 billion a year ago, and has expressed intentions to invest more in Bitcoin as a reserve asset, having purchased 4,710 BTC valued at around $513 million using debt financing. However, the stock price faces pressure amid ongoing challenges in physical game sales, showing a 3.8% decline year-to-date. In May, the company had flat stock performance, having previously reached an all-time high of just over $80 in January 2021 during a crypto market peak.

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