GameStop Corp. (NYSE:GME) stock fell 6.23% (As on Dec 9, 11:25:27 AM UTC-4, Source: Google Finance) after the company’s net loss grew to $105.4 million in the third quarter of FY 21 from a loss of $18.8 million, a year earlier. However, the company beat the market’s expectations in the latest quarter as it sold more gaming consoles and video games. Inventories grew in the latest quarter as GameStop looked to get ahead of supply chain challenges and be well-stocked for the holidays. At the close of the quarter, inventory was $1.14 billion, compared with $861 million at the same time last year. The company has ended the period with cash and cash equivalents of $1.413 billion as well as no debt other than a $46.2 million low-interest, unsecured term loan associated with the French government’s response to COVID-19. Meanwhile, the company has established new offices in Seattle, Washington and Boston, Massachusetts, which are technology hubs with established talent markets. The company has also secured a new $500 million ABL facility, which closed in November just after the end of the third quarter, with improved liquidity and terms, including reduced borrowing costs, lighter covenants and additional flexibility. The company has hired more than 200 senior employees from some top technology companies and expanded merchandise, such as adding more personal computing gaming items across about 60% of its U.S. locations. The company is now committed to improving customer service and delivering goods faster. The company now is exploring emerging opportunities, that includes blockchain, NFTs and web 3.0 Gaming.

Moreover, the Company had planned to rebrand EB Games in Canada. By the end of this year, EB Games’ Canadian locations and online store will assume the GameStop brand and name. The company had announced the continued expansion of its North American fulfillment network and entry into a lease of a 530,000 square foot facility in Reno, Nevada, which is expected to be operational in 2022.

GME in the third quarter of FY 21 has reported the adjusted earnings per share of $1.39, beating the analysts’ estimates for the adjusted earnings per share of 52 cents. The company had reported the adjusted revenue of $1.30 billion in the third quarter of FY 21, beating the analysts’ estimates for revenue of $1.19 billion, according to Refinitiv IBES data. The company said its sales grew as it expanded relationships with brands, including Samsung, LG, Razer and Vizio.