Pedestrians pass a GameStop store in New York.
Scott Mlyn | CNBC
Check out the companies making headlines after the bell:
Shares of GameStop tanked more than 20% during extended trading after the video game retailer reported a large third-quarter earnings miss. GameStop posted a loss of 49 cents per share excluding certain items on revenue of $1.44 billion, falling short of the 11 cent earnings per share and revenue of $1.62 billion analysts expected, according to Refinitiv. Same-store sales also came in weaker than expected, at a 23.2% decline versus the 13.8% decline expected. The company cited the “unprecedented decline in new hardware sales seen across the market” as consumers await the release of next-generation gaming consoles.
For the fourth quarter, the company expects adjusted earnings between 10 cents and 20 cents per share, while Wall Street had anticipated earnings of $1.21 per share. Same-store sales, meanwhile, are expected to “decline in the high-teens.”
Shares of Ollie’s Bargain Outlet surged as much as 12% following the company’s better-than-expected earnings in its third quarter. The retail store chain earned 41 cents per share on revenue of $327 million, exceeding the earnings of 38 cents per share and revenue of $323 million analysts expected, according to Refinitiv consensus estimates. Ollie’s same-store sales fell short, however, coming in at a 1.4% decline versus the 1.2% decline anticipated.
Separately, the company also named John Swygert as president and CEO effective immediately. Swygert had served as interim president and CEO since December 2, following the unexpected death of founder Mark Butler.
Shares of Dave & Buster’s Entertainment climbed 3% after the company reported a third-quarter revenue beat. The sports bar and gaming chain’s revenue came in at $299.4 million, topping the revenue of $296 million analysts expected, according to Refinitiv.
The company earned 2 cents per share, which was in line with analysts’ expectations, though noted pre-tax charges amounting to 8 cents per share related to “ongoing litigation and corporate restructuring” costs.
Dave & Buster’s narrowed its fiscal year 2019 revenue and same-store sales guidance. The company expects revenue between $1.347 billion and $1.354 billion, narrowing its previous outlook range of $1.338 billion to $1.359 billion. Dave & Buster’s also expects same-store sales to decline between 3% and 2.5%, compared to its previous estimate of declines between 3.5% and 2.0%.
Chevron shares slipped just under 1% after the oil giant took a non-cash, after-tax impairment charge between $10 billion and $11 billion due to its lowered long-term commodity price outlook. The company said it would reduce funding to various properties, including its Appalachia shale holding, and is also considering its divestment. More than half of the impairment is related to Chevron’s Appalachia shale holding, the company said in a press release. Chevron also said it was writing down the value of its Big Foot drilling project in the Gulf of Mexico.
Dropbox shares slipped 3% after the bell following the company’s announcement that chief customer officer Yamini Rangan will step down, though will remain to assist with the transition until January 3. Rangan will receive a transition payment of $500,000 along with outgoing CTO Quentin Clark, who announced his departure in early October, the company said in an SEC filing.
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