GameStop Fires CEO, Hires Ryan Cohen as Replacement

On Wednesday, GameStop announced the termination of its CEO, Matt Furlong. Ryan Cohen will take his place.

The reason for Furlong’s termination is unclear, but according to a company filing with the Securities and Exchange Commission, he will have the ability to receive payments and benefits associated with termination without cause.

The filing also states that Cohen will be in charge of evaluating potential investments and acquisitions, overseeing the managers of GameStop’s holdings and capital allocation.

Also on Wednesday, the company announced its first quarter results and it was not promising. GameStop reported revenue of $1.24 billion, down from $1.38 billion during last year’s first quarter, according to CNN. Additionally, “GameStop also reported a net loss of $50.5 million, compared to a net loss of $157.9 million in the first quarter of 2022. The loss comes just a few months after GameStop reported its first quarterly profit in two years.”

As a result, GameStop shares reportedly fell 20% in after-hours trading.