Core Insights - GameStop Corp.'s collectibles segment demonstrated significant growth in Q1 of fiscal 2025, with net sales reaching $211.5 million, a 54.6% increase from $136.8 million in Q1 of fiscal 2024 [1][8] - The share of collectibles in GameStop's total sales mix rose to 28.9%, up from 15.5% a year earlier, indicating a diversification of revenue sources [2][8] - The collectibles category includes a variety of merchandise appealing to a broader demographic, aligning with pop culture trends and enhancing the company's market relevance [3][4] Financial Performance - Despite the strong performance of collectibles, total company revenues declined during the same period [1] - Hardware and software sales experienced significant year-over-year declines of 31.7% and 26.7%, respectively, highlighting the importance of the collectibles segment as a strategic hedge [4] - GameStop's shares have decreased by 27.8% year to date, underperforming compared to the industry growth of 13.3% [5][6] Valuation Metrics - GameStop trades at a forward price-to-sales ratio of 3.06X, slightly below the industry average of 3.58X, with a Value Score of B [6] - The company is trading at a premium to Best Buy's forward P/S ratio of 0.36X and at a discount to Microsoft's 11.76X [6] Earnings Estimates - The Zacks Consensus Estimate for GameStop's fiscal 2025 earnings suggests a year-over-year growth of 127.3%, while the estimate for fiscal 2026 indicates a decline of 52% [9] - Recent adjustments to earnings estimates show an increase of 28 cents for fiscal 2025 and a decrease of 11 cents for fiscal 2026 over the past 30 days [9]

P RESENTATIO N INVESTO R CO MP ANY O VERVIEW JUNE 2024 1 Caut ionary Not e s This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements contained in this presentation that do not relate to matters of historical fact should be considered forward-looking statements, including statements regarding our future results of operations and financial position, industry dynamics, our mission, growth opportunities, business strategy a ...