Note: all monetary numbers, unless otherwise stated, are in millions. Looking at GameStop’s balance sheet, from 2013 to 2014, the total assets that GameStop had at its disposal increased a large amount, going from 4091.40 in 2013 to 4246.30 in 2014. The net intangibles and the other long term assets were the main perpetrators of this increase in assets, with the intangibles going from 194.30 in 2013 to 237.80 in 2014, and other long term assets increasing from 56.60 in 2013 to 101.40 in 2014. Alongside this increase in assets, GameStop showed a notable decrease in liabilities from 2013 to 2014, going from 1726.00 to 1639.70, seemingly showing their liabilities-to-assets numbers to be positive, however GameStop’s total liabilities increased,
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However less profitable 2013 was than 2014 is, in fact, highly overshadowed when you take a look at 2012’s Net Income, which was -269.70, thus showing that 2013 was still a very good year for GameStop altogether. All of the good numbers shot up accordingly with the increased net income from 2013, with total revenue increasing from 9,039.50 to 9,296.00, and gross profit increasing from 2,661.10 to 2,775.90 .While most of the expenses increased to correlate with the increased revenue, the Depreciation expense actually decreased from 166.50 to 154.40. Unusual expense also decreased from 28.70 to 2.20, obviously signifying less unforeseen expenses in the year of 2014, perhaps showing different games would be more likely to …show more content…
Long term debt increased substantially as well, perhaps showing that these sales could possibly have negative repercussions in upcoming years. Total debt also increased accordingly, but both of these increases were still not enough to outweigh the massive profits garnered in 2014. Again, corresponding with the profit increase, accounts payable was also greater in 2014 than 2013, increasing from 783.90 to 815.60. Looking at other various statistics, GameStop massively expanded the amount of stores it opened, increasing from 109 in 2013 to 333 in 2014, while also moderately increasing the amount of stores closed, from 254 in 2013 to 300 in 2014. This shows how the increase in profits allowed for more stores to remain open than closed, thus allowing for even more sales in the upcoming
However less profitable 2013 was than 2014 is, in fact, highly overshadowed when you take a look at 2012’s Net Income, which was -269.70, thus showing that 2013 was still a very good year for GameStop altogether. All of the good numbers shot up accordingly with the increased net income from 2013, with total revenue increasing from 9,039.50 to 9,296.00, and gross profit increasing from 2,661.10 to 2,775.90 .While most of the expenses increased to correlate with the increased revenue, the Depreciation expense actually decreased from 166.50 to 154.40. Unusual expense also decreased from 28.70 to 2.20, obviously signifying less unforeseen expenses in the year of 2014, perhaps showing different games would be more likely to …show more content…
Long term debt increased substantially as well, perhaps showing that these sales could possibly have negative repercussions in upcoming years. Total debt also increased accordingly, but both of these increases were still not enough to outweigh the massive profits garnered in 2014. Again, corresponding with the profit increase, accounts payable was also greater in 2014 than 2013, increasing from 783.90 to 815.60. Looking at other various statistics, GameStop massively expanded the amount of stores it opened, increasing from 109 in 2013 to 333 in 2014, while also moderately increasing the amount of stores closed, from 254 in 2013 to 300 in 2014. This shows how the increase in profits allowed for more stores to remain open than closed, thus allowing for even more sales in the upcoming