GameStop Corp.
For the period ended Aug 2, 2025. Filed Sep 9, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Aug 2, 2025 · Filed Sep 9, 2025
GME$25.12+3.9%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-05-03; filed 2025-06-10.
0001326380-25-000035
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-08-02; filed 2025-09-09.
0001326380-25-000075
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 89 previous paragraphs and 102 current paragraphs.
54 unchanged; 28 reworded; 18 added; 7 removed; 0 previous and 2 current paragraphs rearranged.
Tables are not compared: 5 previous and 5 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (18)
Current report
Effective May 4, 2025, we operate ourbusiness in three geogr aphic segments: United States, Australia and Europe. During the second quarter of fiscal 2025 we divested our operations in Canada, which previously comprised a fourth separate reporting segment. See Note 8, "Segment Information," for further details.
Current report
•During the second quarter of fiscal 2025, we completed the sale of our Canadian subsidiary, Electronic Boutique Canada, Inc., which operated our Canadian stores and e-commerce business.
Current report
(1) "NM" identifies data that is not meaningful.
Current report
Net sales increased $173.9 million, or 21.8%, for thethree months ended August 2, 2025, compared to the prior year.
Current report
During the three months ended August 2, 2025, net sales in our Europe and Canada segments decreased by 16.1% and 100.0%, respectively, compared to the prior year while the net sales in the Australia and the United States segments increased by 60.5% and 32.8%, respectively, compared to the prior year. The increase in consolidated net sales for the three months ended August 2, 2025 compared to the prior year was primarily due to a $140.9 million, or 31.2%, increase in the sale of hardware and accessories, and a $88.2 million, or 63.3%, increase in the sale of collectibles. This was partially offset by a $55.2 million, or 26.6%, decline in the sale of software. The decrease in net sales in our Canada segment was due to the divestiture of Canada in the second quarter of fiscal 2025. The decrease in net sales in our Europe segment was primarily due to the divestiture of Italy, and the closure of our operations in Germany, both occurring during the second half of fiscal 2024.
Current report
Net sales increased $24.5 million, or 1.5%, for thesix months ended August 2, 2025, compared to the prior year.
Current report
During the three months ended August 2, 2025, gross profit increased $34.3 million, or 13.8%, compared to the prior year. The increase in gross profit is primarily due to an increase in sales of hardware and accessories, as well as the increase in sales of collectibles. Sales of hardware and accessories as a percentage of total net sales increased to 60.9% for the three months ended August 2, 2025, compared to 56.5% in the prior year. Sales of collectibles as a percentage of total net sales increased to 23.4% for the three months ended August 2, 2025, compared to 17.5% in the prior year. Gross profit as a percentage of net sales declined to 29.1%, compared to 31.2% in the prior year primarily due to sales of hardware and accessories increasing more than sales of collectibles during the second quarter of fiscal 2025. Hardware and accessories is a lower margin product category than collectibles.
Current report
During the six months ended August 2, 2025, SG&A expenses decreased $119.0 million, or 21.0%, compared to the prior year. SG&A expenses as a percentage of sales decreased to 26.2%, compared to 33.7% in the prior year.
Current report
During the three months ended August 2, 2025, we recognized a $2.1 million asset impairment reversal, compared to no impairment expense for the prior year period.
Current report
The asset impairment reversal in the current quarter was the result of the remeasurement of the carrying value of the French disposal group compared to its fair value.
Current report
During the six months ended August 2, 2025, asset impairment expense was $33.4 million, compared to no asset impairment expense in the prior year period. Asset impairment as a percentage of sales was 2.0% for the six months ended August 2, 2025.
Current report
Unrealized gain on digital assets
Current report
During the three months ended August 2, 2025, the unrealized gain on digital assets increased by $28.6 million, or 100%, compared to the prior year and as a percentage of sales was 2.9% for the three months ended August 2, 2025. During the six months ended August 2, 2025, unrealized gain on digital assets increased by $28.6 million, or 100%, compared to the prior year and as a percentage of sales was 1.7% for the six months ended August 2, 2025.
Current report
The increase in unrealized gain on digital assets for the three and six months ended August 2, 2025 was due to the Company purchasing 4,710 of Bitcoin during the second quarter of fiscal 2025.
Current report
We recognized income tax expense of $9.5 million for the six months ended August 2, 2025, compared to an income tax benefit of$0.7 millionfor the six months August 3, 2024. Our effective income tax rate was 4.3% for the six months ended August 2, 2025 compared to 3.8% for the six months ended August 3, 2024.
Current report
On June 17, 2025, we completed a private offering of $2,250 million aggregate principal of 0.00% Convertible Senior Notes due 2032 (the "Convertible 2032 Notes"). Pursuant to the purchase agreement between the Company and the initial purchaser of the Notes, the Company granted the initial purchaser an option to purchase, for settlement within a period of 13 days from, and including, the date the Notes are first issued, up to an additional $450 million aggregate principal amount of Notes. The Convertible 2032 Notes are general unsecured obligation of the Company. The Convertible 2032 Notes were issued pursuant to an Indenture, dated June 17, 2025, between the Company and the Trustee, as trustee.
Current report
Cash flows used in investing activities during the six months ended August 2, 2025 were primarily due to the purchase of digital assets (Bitcoin) in the second quarter of fiscal 2025.
Current report
Cash flows provided by fina ncing activities were $4,153.3 million during the six months ended August 2, 2025 compared to $3,050.2 million during the six months ended August 3, 2024.
Removed paragraphs (7)
Previous report
Net sales decreased $149.4 million, or 16.9%, for the three months ended May 3, 2025, compared to the prior year.
Previous report
During the three months ended May 3, 2025, asset impairments increased by $35.5 million, or 100.0%, compared to the prior year. Asset impairments as a percentage of sales was 4.8% for the three months ended May 3, 2025.
Previous report
Cash provided by investing activities was$7.3 million during the three months ended May 3, 2025 compared to $189.8 million during the three months ended May 4, 2024.
Previous report
Cash provided by investing activities during the three months ended May 4, 2024 was primarily attributable to the maturity of marketable securities, partially offset by purchases of marketable securities and routine capital expenditures.
Previous report
RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS
Previous report
In December 2023, the FASB issued ASU No. 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures." This standard enhances disclosures related to income taxes, including the rate reconciliation and information on income taxes paid. This ASU is effective for annual periods beginning after December 15, 2024.
Previous report
In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40). The guidance includes amendments to require public companies to provide additional disclosure about certain costs and expenses. The ASU is effective for annual periods beginning after December 15, 2026, and interim periods beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact that the adoption of this standard will have on the Company’s unaudited condensed consolidated financial statements.
Reworded paragraphs (28)
Previous wording
We operate our business in four geographic segments: United States, Canada, Australia and Europe. Our fiscal year is composed of the 52 or 53 weeks ending on the Saturday closest to the last day of January. Fiscal 2025 consists of 52 weeks ending January 31, 2026 ("fiscal 2025"). Fiscal 2024 consisted of 52 weeks ended on February 1, 2025. All three-month periods presented herein contain 13 weeks. All references to years, quarters and months relate to fiscal periods rather than calendar periods. The discussion and analysis of our results of operations refers to continuing operations unless otherwise noted. Our business, like that of many retailers, is seasonal, with the major portion of the net sales realized during the fourth quarter, which includes the holiday selling season.
Current wording
Our fiscal year is composed of the 52 or 53 weeks ending on the Saturday closest to the last day of January. Fiscal 2025 consists of 52 weeks ending January 31, 2026 ("fiscal 2025"). Fiscal 2024 consisted of 52 weeks ended on February 1, 2025. All six-month periods presented herein contain 26 weeks. All references to years, quarters and months relate to fiscal periods rather than calendar periods. The discussion and analysis of our results of operations refers to continuing operations unless otherwise noted. Our business, like that of many retailers, is seasonal, with the major portion of the net sales realized during the fourth quarter, which includes the holiday selling season.
Previous wording
•During the fourth quarter of fiscal 2024, we sold our Italian subsidiary, GameStop Italy S.r.l, which operated our Italian stores and e-commerce business; and
Current wording
•During the fourth quarter of fiscal 2024, we sold our Italian subsidiary, GameStop Italy S.r.l, which operated our Italian stores and e-commerce business;
Previous wording
•On February 18, 2025, we announced a plan to pursue a sale of our operations in Canada and France. During the first quarter of fiscal 2025, we recognized impairment expense of$18.3 million on the Canadian disposal group and impairment expense of$17.2 million on the French disposal group.
Current wording
•During the first quarter of fiscal 2025, we announced a plan to pursue a sale of our operations in Canada and France; and
Previous wording
We also continue to explore ways to increase the size of our addressable market through new product and service offerings, including offerings in the graded collectibles category. On October 15, 2024, GameStop announced that it had entered into a collaboration with Collectors Holdings, Inc., through its Professional Sports Authenticator division ("PSA"). As part of this collaboration, GameStop became an authorized PSA dealer, and PSA provides autograph authentication and grading services for trading cards through select GameStop stores across the United States.
Current wording
We also continue to explore ways to increase the size of our addressable market through new product and service offerings, including offerings in the graded collectibles category. On October 15, 2024, GameStop announced that it had entered into a collaboration with Collectors Holdings, Inc., through its Professional Sports Authenticator division ("PSA"). As part of this collaboration, GameStop became an authorized PSA dealer, and PSA provides autograph authentication and grading services for trading cards through select GameStop stores across the United States. During the second quarter of fiscal year 2025, the Company announced the launch of Power Packs, a new digital trading card platform in partnership with PSA. Power Packs is an online e-commerce experience where collectors buy graded PSA cards that are securely stored in the PSA vault. Each card can be sold back instantly, traded, shipped to the collector, or held for future offers.
Previous wording
The Three Months Ended May 3, 2025 Compared to the Three Months Ended May 4, 2024
Current wording
The Three and Six Months Ended August 2, 2025 Compared to the Three and Six Months Ended August 3, 2024
Previous wording
During the three months ended May 3, 2025, net sales in our Europe, Canada and United States segments decreased by 47.4%, 10.3%,12.9%, respectively, compared to the prior year while the net sales in the Australia segment increased by 2.9% compared to the prior year. The decrease in consolidated net sales for the three months ended May 3, 2025 compared to the prior year was primarily attributable to a $160.0 million, or 31.7%, decline in the sale of hardware and accessories, and a $64.1 million, or 26.7%, decline in the sale of software. This was partially offset by a $74.7 million, or 54.6%, increase in the sale of collectibles.
Current wording
During the six months ended August 2, 2025, net sales in our Europe and Canada segments decreased by 32.7% and 52.4%, respectively, compared to the prior year while the net sales in the Australia and United States segments increased by 33.1% and 8.5%, respectively, compared to the prior year. The increase in consolidated net sales for thesix months ended August 2, 2025 compared to the prior year was primarily due to a $162.9 million, or 59.0%, increase in the sale of collectibles. This was partially offset by a $119.3 million, or 26.7%, decline in the sale of software and a $19.1 million, or 2.0% decline in the sale of hardware and accessories. The decrease in net sales in our Canada segment was due to the divestiture Canada in the second quarter of fiscal 2025. The decrease in net sales in our Europe segment was primarily due to the divestiture of Italy, and the closure of our operations in Germany, both occurring during the second half of fiscal 2024.
Previous wording
During the three months ended May 3, 2025, gross profit increased $8.3 million, or 3.4%, compared to the prior year. Gross profit as a percentage of net sales increased to 34.5%, compared to 27.7% in the prior year. The increase in gross profit, as well as gross profit as a percentage of net sales, is primarily due to a shift to higher margin product categories, specifically collectibles and preowned hardware and accessories. Sales of collectibles as a percentage of total net sales increased to 28.9% for the three months ended May 3, 2025, compared to 15.5% in the prior year. Sales of preowned hardware and accessories as a percentage of total net sales increased to 12.5% for the three months ended May 3, 2025, compared to 10.5% in the prior year.
Current wording
During thesix months ended August 2, 2025, gross profit increased $42.6 million, or 8.6%, compared to the prior year. Gross profit as a percentage of net sales increased to 31.4%, compared to 29.4% in the prior year. The increase in gross profit, as well as gross profit as a percentage of net sales, is primarily due to a shift to higher margin product categories, specifically collectibles and preowned hardware and accessories. Sales of collectibles as a percentage of total net sales increased to 25.8% for thesix months ended August 2, 2025, compared to 16.4% in the prior year. Sales of preowned hardware and accessories as a percentage of total net sales increased to 15.2% for thesix months ended August 2, 2025, compared to 12.3% in the prior year.
Previous wording
During the three months ended May 3, 2025, SG&A expenses decreased $67.0 million, or 22.7%, compared to the prior year. SG&A expenses as a percentage of sales decreased to 31.1%, compared to 33.5% in the prior year.
Current wording
During the three months ended August 2, 2025, SG&A expenses decreased $52.0 million, or 19.2%, compared to the prior year. SG&A expenses as a percentage of sales decreased to 22.5%, compared to 33.9% in the prior year.
Previous wording
The decrease in SG&A expenses for the three months ended May 3, 2025 compared to the prior year is primarily attributable to a reduction in labor-related, consulting service, and marketing costs of $25.3 million, driven by our continued focus on cost reduction efforts. Additionally, store-related costs and depreciation decreased by $21.4 million and $11.3 million, respectively, in the current year, primarily in connection with prior year store closures and international divestitures.
Current wording
The decrease in SG&A expenses for the three months ended August 2, 2025 compared to the prior year is primarily due to a reduction in labor-related, consulting services, and marketing costs of $30.3 million, driven by our continued focus on cost reduction efforts. Additionally, store-related costs and depreciation decreased by $24.9 million and $2.9 million, respectively, in the current year, primarily in connection with prior year store closures and international divestitures.
Previous wording
The increase in asset impairments for the three months ended May 3, 2025 compared to the prior year is due to a plan committed to by management in the first quarter of fiscal 2025 to divest the Company's operations in Canada and France, and the corresponding reclassification of all related assets and liabilities as held for sale. This resulted in the Company recognizing an impairment of $18.3 million and $17.2 million for the Canadian disposal group and French disposal group, respectively.
Current wording
The asset impairment expense in the current year was due to a plan approved by management in the first quarter of fiscal 2025 to divest the Company's operations in Canada and France, and the corresponding reclassification of all related assets and liabilities as held for sale. This resulted in the Company recognizing an impairment expense of $18.3 million and $15.1 million for the Canadian disposal group and French disposal group, respectively, during the current year.
Previous wording
During the three months ended May 3, 2025, we recognized net interest income of $56.9 million compared to net interest income of $14.9 million for the three months ended May 4, 2024. Net interest income increased primarily due to higher balances of cash and cash equivalents resulting from the issuance and sale of shares of our common stock from an "at-the-market offering" (ATM) and the Convertible Notes.
Current wording
During the three and six months ended August 2, 2025, we recognized net interest income of $79.6 million and $136.5 million, respectively, compared to net interest income of $39.5 million and $54.4 million for the three and six months ended August 3, 2024. Net interest income increased primarily due to higher balances of cash and cash equivalents resulting from the issuance and sale of shares of our common stock in the ATM Offerings as well as the issuance of the Convertible 2030 Notes and Convertible 2032 Notes.
Previous wording
We recognized income tax expense of $3.5 million for the three months ended May 3, 2025, compared to an income tax benefit of $3.4 million for the three months ended May 4, 2024. Our effective income tax rate was 7.2% for the three months ended May 3, 2025 and 9.5% for the three months ended May 4, 2024.
Current wording
We recognized income tax expense of $6.0 million for the three months ended August 2, 2025, compared to an income tax expense of $2.7 million for the three months ended August 3, 2024. Our effective income tax rate was 3.4% for the three months ended August 2, 2025 compared to 15.4% for the three months ended August 3, 2024.
Previous wording
Our effective income tax rate for the three and three months ended May 3, 2025 was primarily due to forecasted income taxes due in certain jurisdictions in which we operate, partially offset by tax benefits recognized in the current period.
Current wording
Our effective income tax rate for the three and six months ended August 2, 2025 was primarily due to forecasted income taxes due in certain jurisdictions in which we operate, partially offset by tax benefits recognized in the current period.
Previous wording
Our effective income tax rate for the three months ended May 4, 2024 was primarily due to the recognition of tax benefits on certain period losses, partially offset by forecasted income taxes due in certain jurisdictions in which we operate.
Current wording
Our effective income tax rate for the three and six months ended August 3, 2024 was primarily due to the recognition of tax benefits on certain period losses, partially offset by forecasted income taxes due in certain jurisdictions in which we operate.
Previous wording
Our principal sources of liquidity are cash on hand and cash provided by operations. As of May 3, 2025, we had total unrestricted cash and cash equivalents on hand of $6,385.8 million.
Current wording
Our principal sources of liquidity are cash on hand and cash provided by operations. As of August 2, 2025, we had total unrestricted cash and cash equivalents on hand of$8,694.4 million.
Previous wording
Our marketable securities are carried at fair value and include investments in certain highly-rated short-term government notes, government bills, and time deposits. During the first quarter of fiscal 2025, we reclassified the investment portfolios' aggregate balance of $11.4 million, all ofwhich has an original maturity in excess of 90 days and less than one year, to Assets held for sale in the Condensed Consolidated Balance Sheets. Following the reclassification, the amount is no longer included in the total marketable securities balance. See Item 1, Part I, "Notes to the Consolidated Financial Statements", Note 4, "Fair Value Measurements," for additional information.
Current wording
Our marketable securities are carried at fair value and include investments in certain highly-rated short-term government notes, government bills, and time deposits. During the first quarter of fiscal 2025, we reclassified the investment portfolios' aggregate balance of $11.4 million, all of which had an original maturity in excess of 90 days and less than one year, to Assets held for sale in the Condensed Consolidated Balance Sheets. Following the reclassification, the amount is no longer included in the total marketable securities balance. As of August 2, 2025, the investment portfolios' aggregate balance within Assets held for sale is$23.2 million. See Item 1, Part I, "Notes to the Consolidated Financial Statements,"Note 4, "Fair Value Measurements," for additional information.
Previous wording
In fiscal 2021, the six separate unsecured term loans held by our French subsidiary, Micromania SAS, for a total of €40.0 million, were extended for five years. During the first quarter of fiscal 2025, we reclassified the French Term Loans to Liabilities held for sale on the Condensed Consolidated Balance Sheets where it continues to be measured at the lower of its carrying amount and fair value less costs to sell. As of May 3, 2025, $15.7 million remains outstanding.
Current wording
In fiscal 2021, the six separate unsecured term loans held by our French subsidiary, Micromania SAS, for a total of €40.0 million, were extended for five years. During the first quarter of fiscal 2025, we reclassified the French Term Loans to Liabilities held for sale on the Condensed Consolidated Balance Sheets where it continues to be measured at the lower of its carrying amount and fair value less costs to sell. As of August 2, 2025, $13.2 million remains outstanding and classified in Liabilities held for sale.
Previous wording
We maintain uncommitted facilities with certain lenders that provide for the issuance of letters of credit and bank guarantees, at times supported by cash collateral. As of May 3, 2025, we had letters of credit and other bank guarantees outstanding in the amount of $9.0 million.
Current wording
We maintain uncommitted facilities with certain lenders that provide for the issuance of letters of credit and bank guarantees, at times supported by cash collateral. As of August 2, 2025, we had letters of credit and other bank guarantees outstanding in the amount of $8.7 million.
Previous wording
On April 1, 2025, we completed a private offering of $1,500 million aggregate principal amount of 0.00% Convertible Senior Notes due 2030 (the "Convertible Notes"), including the exercise in full of the initial purchaser's option to purchase up to an additional $200 million aggregate principal amount of the Convertible Notes. The Convertible Notes are general unsecured obligation of the Company. The Convertible Notes were issued pursuant to an Indenture, dated April 1, 2025, between the Company and U.S. Bank Trust Company, National Association, as trustee.
Current wording
On April 1, 2025, we completed a private offering of $1,500 million aggregate principal amount of 0.00% Convertible Senior Notes due 2030 (the "Convertible 2030 Notes"), including the exercise in full of the initial purchaser's option to purchase up to an additional $200 million aggregate principal amount of the Convertible 2030 Notes. The Convertible 2030 Notes are general unsecured obligation of the Company. The Convertible 2030 Notes were issued pursuant to an Indenture, dated April 1, 2025, between the Company and U.S. Bank Trust Company, National Association (the "Trustee"), as trustee.
Previous wording
See Part I, Item 1 "Notes to the Condensed Consolidated Financial Statements", Note 5 “Debt”of our condensed consolidated financial statementsfor additional information related to the Convertible Notes.
Current wording
See Part I, Item 1 "Notes to the Condensed Consolidated Financial Statements,"Note 5 “Debt”of our condensed consolidated financial statementsfor additional information related to the Convertible 2030 Notes and the Convertible 2032 Notes.
Previous wording
We intend to use the net proceeds from the Convertible Notes for general corporate purposes, including the acquisition of Bitcoin in a manner consistent with the Company’s Investment Policy..
Current wording
We intend to use the net proceeds from the Convertible 2030 Notes for general corporate purposes, including the acquisition of Bitcoin in a manner consistent with the Company’s Investment Policy. We intend to use the net proceeds from the Convertible 2032 Notes for general corporate purposes, including making investments in a manner consistent with the Company's Investment Policy and potential acquisitions.
Previous wording
Cash provided by operating activities was$192.5 million during the three months ended May 3, 2025, compared to cash used in operating activities of $109.8 million during the three months ended May 4, 2024.
Current wording
Cash flows provided by oper ating activities were$309.9 million during the six months ended August 2, 2025, compared to cash flows used in operating activities of $41.2 million during the six months ended August 3, 2024.
Previous wording
Cash provided by operating activities during the three months ended May 3, 2025 was primarily due to the impact of our net income, an increase in trade payables, and a decrease in merchandise inventories.
Current wording
Cash flows provided by operating activities during the six months ended August 2, 2025 were primarily due to the impact of our net income, as well as an increase in accounts payable and accrued liabilities, partially offset by an increase in merchandise inventories.
Previous wording
Cash used in operating activities for the three months ended May 4, 2024 was primarily due to the impact of our net loss, an increase in merchandise inventories, and a decrease in trade payables, partially offset by a reduction in accounts receivable.
Current wording
Cash flows used in operating activities for the six months ended August 3, 2024 were primarily due to a decrease in accounts payable and accrued liabilities, as well as the impact of our net loss, partially offset by a decrease in accounts receivable and a decrease in merchandise inventory.
Previous wording
Cash flows provided by financing activities were $1,478.0 million during the three months ended May 3, 2025 compared to cash flows used by financing activities of $2.7 million during the three months ended May 4, 2024.
Current wording
Cash flows used in investing activities were $516.0 million during the six months ended August 2, 2025 compared to cash flows provided by investing activities of $268.2 million during the six months ended August 3, 2024.
Previous wording
Cash provided by investing activities during the three months ended May 3, 2025 was primarily attributable to proceeds from the maturity of marketable securities, partially offset by purchases of marketable securities and routine capital expenditures.
Current wording
Cash provided by investing activities during the six months ended August 3, 2024 were primarily due to proceeds from the maturity of marketable securities.
Previous wording
Cash flows provided by financing activities during the three months ended May 3, 2025 was primarily due to gross proceeds of $1,500.0 million received from the issuance of the Convertible Notes, partially offset by Convertible Note issuance costs and repayments on our government-guaranteed low interest French term loans due October 2022 through October 2026.
Current wording
Cash flows provided by financing activities during the six months ended August 2, 2025 were primarily due to gross proceeds of $4,200.0 million received from the issuance of Convertible 2030 Notes and the Convertible 2032 Notes, partially offset by their respective issuance costs as well as repayments on our government-guaranteed low interest French term loans due October 2022 through October 2026.
Previous wording
Cash flows used by financing activities during the three months ended May 4, 2024 was attributable to the repayments on our government-guaranteed low interest French term loans due October 2022 through October 2026 and the settlement of stock-based awards.
Current wording
Cash flows provided by financing activities during the six months ended August 3, 2024 were primarily due to gross proceeds of$3,070.4 million received from the issuance of common stock in connection with the ATM Offering, partially offset by issuance costs from the ATM Offering and repayments on our government-guaranteed low interest French term loans due October 2022 through October 2026.
Rearranged current paragraphs (2)
Current report — wording carried from elsewhere
The decrease in SG&A expenses for the six months ended August 2, 2025 compared to the prior year is primarily due to a reduction in labor-related, consulting services, and marketing costs of $55.6 million, driven by our continued focus on cost reduction efforts. Additionally, store-related costs and depreciation decreased by $46.4 million and $14.2 million, respectively, in the current year, primarily in connection with prior year store closures and international divestitures.
Current report — wording carried from elsewhere
On March 25, 2025 we announced that, as part of our revisions to the Investment Policy, the Board approved the addition of Bitcoin as a treasury reserve asset, whereby a portion of our cash or future debt and equity issuances may be invested in Bitcoin. Such investments are classified as Digital Assets on our Condensed Consolidated Balance Sheets, and are recorded at fair value. During the second quarter of fiscal year 2025, the Company purchased 4,710 Bitcoin for $500 million. We may from time to time sell some of our Bitcoin as part of treasury management operations.