By Akash Sriram
(Reuters) -GameStop Corp on Tuesday posted a surprise profit for the fourth quarter, its first since early 2021, as lower costs and job cuts padded the videogame retailer's bottom line, sending its shares nearly 50% higher in extended trading.
The company has also been shoring up its online sales capabilities in a bid to beef up its digital presence and diversify from the current mainstay of brick-and-mortar stores as competition heats up from bigger retailers.
"We're aggressively focused on year-over-year profitability improvement while still pursuing pragmatic long-term growth," CEO Matt Furlong said in a post-earnings conference call.
GameStop's selling, general and administrative costs fell by about 16% in the quarter.