GameSquare Holdings Reports 2024 First Quarter Results

GameSquare Holdings, Inc. (NASDAQ:GAME) reported its financial results for the first quarter of 2024, ending March 31. CEO Justin Kenna highlighted the integration of FaZe Clan and the company's ongoing optimization of its business model.

Despite a $4.2 million year-over-year revenue decline from FaZe Clan, GameSquare and Engine Gaming saw a $3.6 million increase. The company reported a 45% year-over-year improvement in proforma adjusted EBITDA, due to cost synergies from the acquisitions of Engine and FaZe Clan.

Investment highlights include an $11 million investment from Matt Kalish for a 49% interest in FaZe Media, which generated about $30 million in revenue in 2023. This investment aims to enhance FaZe Clan's brand by empowering creators and engaging fans.

First quarter revenue was $17.7 million, a rise from $2.8 million in 2023. However, the net loss increased to $5.3 million compared to $4.3 million the previous year. Proforma revenue was $23.5 million, a slight drop from $24.1 million in 2023.

Guidance for 2024 includes over $100 million in annual revenue, with significant cost savings expected to improve profitability throughout the year.