How does GameStop (GME) make money?

GameStop (GME) generates revenue primarily from New Video Game Hardware, which accounted for 49% of total revenue in TTM through Q2 2026. The company reported $3.73B in revenue and converted 20.4% of it into net profit, equivalent to roughly $763.20M in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of GameStop (GME)?

GameStop (GME) reported a gross profit margin of 34.4% in TTM through Q2 2026, equivalent to $1.28B in gross profit on $3.73B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of GameStop (GME)?

GameStop (GME) reported an operating profit margin of 10.6% in TTM through Q2 2026, equivalent to $395.90M in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of GameStop (GME)?

GameStop (GME) reported a net profit margin of 20.4% in TTM through Q2 2026, equivalent to $763.20M in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is GameStop (GME) profitable?

Yes. GameStop (GME) reported $763.20M in net income for TTM through Q2 2026, with a net profit margin of 20.4%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does GameStop (GME) spend on capital expenditures?

GameStop (GME) spent $19.10M on capital expenditures (CapEx) during TTM through Q2 2026, roughly 0.5% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does GameStop (GME) generate?

GameStop (GME) generated $740.80M in free cash flow during TTM through Q2 2026, a free-cash-flow margin of 19.8%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of GameStop (GME)?

GameStop (GME) had an effective tax rate of 9.4% in TTM through Q2 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of GameStop (GME)?

GameStop (GME) reports revenue across 3 reportable product segments, led by New Video Game Hardware at 49% of total revenue in TTM through Q2 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

Where does GameStop (GME) generate most of its revenue?

Video Game Brands - United States is the largest geographic market for GameStop (GME), accounting for 74.5% of revenue in the most recent annual filing. The complete regional split — including international markets and any Rest-of-World rollup — is shown in the revenue-by-geography table on this page.

How GameStop Makes Money: 2026 Visual Revenue Map

GameStop (GME) Income Statement Flow — TTM through Q2 2026

Calculated from the four most recent reported quarters, ending May 2, 2026 (reported June 11, 2026).

GameStop (GME) Revenue by Product Segment — TTM through Q2 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for GameStop (GME) in TTM through Q2 2026.
Segment	Revenue (USD)	% of total
New Video Game Hardware	$1.83B	49%
Collectibles	$1.20B	32.1%
Software	$706.40M	18.9%
Total	$3.73B	100%

New Video Game Hardware$1.83B
Collectibles$1.20B
Software$706.40M
Total$3.73B

GameStop (GME) Revenue by Geography — TTM through Q2 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported regions changed mid-year.

Revenue contribution by geographic region for GameStop (GME), TTM through Q2 2026
Region	Revenue (USD)	% of total
Video Game Brands - United States	$2.78B	74.5%
Video Game Brands - Australia	$512.40M	13.7%
Video Game Brands - Europe	$439.20M	11.8%
Total	$3.73B	100%

Video Game Brands - United States
Video Game Brands - Australia
Video Game Brands - Europe
Total

Revenue Breakdown — TTM through Q2 2026

In TTM through Q2 2026, GameStop (GME) reports revenue across 3 operating segments; the largest segment was New Video Game Hardware at 49%, followed by Collectibles (32.1%) and Software (18.9%). Separately, by end-market geography, Video Game Brands - United States accounted for 74.5% of revenue, followed by Video Game Brands - Australia (13.7%) and Video Game Brands - Europe (11.8%).

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