GameStop to Close 430 US Stores to Help Optimize Retail Footprint

GameStop plans to close more than 430 stores across the United States this month, The Verge reported Sunday (Jan. 11).

The retailer’s fiscal year 2025 will end on Jan. 31, and the firm said in a Dec. 9 filing with the Securities and Exchange Commission that it expects to close “a significant number of additional stores in fiscal 2025.”

As of February, GameStop operated 2,325 stores in the U.S., according to The Verge’s report.

GameStop did not immediately reply to PYMNTS’ request for comment.

The company said in a March filing with the SEC that it expected to close stores in fiscal year 2025 as part of an ongoing evaluation of its international assets and operations aimed at achieving sustained profitability.

In fiscal year 2024, GameStop closed 970 stores, including 590 in the U.S., 336 in Europe, 33 in Australia and 11 in Canada, according to the filing.

“We have also initiated a comprehensive store portfolio optimization review, which involves identifying stores for closure based on many factors, including an evaluation of current market conditions and individual store performance,” the firm said in the filing.

PYMNTS reported in December 2024 that GameStop was facing challenges as it adjusted to the rise of digital distribution and changing consumer behavior in the gaming retail industry.

In March, GameStop announced that its board voted unanimously to add bitcoin as a treasury reserve asset.

GameStop reported in December that during the third quarter, its net sales were $821 million, down from $860.3 million a year earlier; its operating income was $41.3 million, up from an operating loss of $33.4 million; and its net income was $77.1 million, up from $17.4 million.

The company also said its bitcoin holdings were valued at $519.4 million at the end of the third quarter.

GameStop announced Jan. 7 that its board of directors granted a performance-based stock option award to Chairman and CEO Ryan Cohen, saying the award is designed to incentivize Cohen to achieve a market capitalization of $100 billion. The company said the award is structured so that the incentives “are directly aligned with creating long-term value for GameStop’s stockholders.”