Shares of GameStop (NYSE:) fell more than 23% before the market opened Friday after the video game retailer reported preliminary first-quarter sales that missed analysts’ average estimates.
Specifically, the company expects preliminary net sales to be between $872 million and $892 million, down from expectations of $1.05 billion and down from $1.237 billion in the same fiscal quarter last year.
The net loss is expected to be between $27 million and $37 million, compared with a net loss of $50.5 million in the prior year fiscal quarter.
Cash, cash equivalents and marketable securities are expected to be in the range of $1.073 billion to $1.093 billion, compared with $1.310 billion at the end of the prior year’s fiscal quarter.
GameStop also filed for a mixed offer. The retailer said it had entered into an open market sale agreement with Jefferies, saying it could sell up to 45 million Class A shares.