The Esports market shows no signs of slowing. In fact, the industry could be worth up to $5.2 billion, says Emergen Research, from $1.165 billion in 2020. A “rise in popularity of video games and rapid growth of live esports coverage platforms are major factors driving market revenue growth. Increasing popularity of gaming – primarily for amusement – as a result of the pandemic is a key factor expected to augment revenue growth of the global esports market during the forecast period,” the analysts noted. That’s big news for companies such as ESE Entertainment Inc. (TSXV:ESE)(OTC:ENTEF), ESports Entertainment Group Inc. (NASDAQ:GMBL), Motorsport Games Inc. (NASDAQ:MSGM), Allied ESports Entertainment Inc. (NASDAQ:AESE), and Gamesquare Esports Inc. (CSE:GSQ)(OTC:GMSQF).
Look at ESE Entertainment Inc. (TSXV:ESE)(OTC:ENTEF), For Example
ESE Entertainment Inc. just announced its unaudited interim consolidated financial results for the three and nine months ended July 31, 2021. All amounts are stated in Canadian dollars unless otherwise indicated.
Third Quarter 2021 Financial and Key Operating Highlights:
- Revenue of $4.23 million for the three months ended July 31, 2021 vs the three months ended July 31, 2020 revenue of $0.14 million.
- Cash balance increased to $9.17 million and zero debt.
- Entered a content production contract with Bitcoin Vault for a major roll out of an esports and gaming talent show, strengthening ESE's presence in the global esports and gaming markets and expanding its production and media rights capabilities globally.
- Raised gross proceeds of $8.6 million in a bought deal public offering of units of the Company from institutional investors at a price of $1.40 per unit. Each unit is composed of one common share of the Company and one common share purchase warrant of the Company, exercisable at $1.95 for two years from issuance, subject to an acceleration right.
- Entered into a letter of intent to acquire Digital Motorsports, an Ireland-based provider of advanced simulation racing infrastructure, technology and support. This acquisition was subsequently completed on September 14, 2021.
- Improvement in bottom line, net loss of $1.26 million vs a net loss of $3.81 million in the previous quarter.
- Continued investment in platform development as well as improvement in back-office functions.
- Developing new software and technology for gaming and esports.
“After significant growth in the ESE group, launching our acquisition Digital Motorsports and raising $8.6 million to accelerate expansion, Q3 was a standout quarter for ESE Entertainment,” commented Konrad Wasiela, CEO of ESE Entertainment. “In the coming months, we anticipate revenue growth and margin expansion. We expect this growth to be driven by momentum in the existing business, performance of the newly completed Digital Motorsports acquisition, direct sales to our increasing pipeline of clients, and new business from our scalable technology and growing ecommerce platform. Further, our acquisition pipeline is robust and our team is working tirelessly to find and execute on prospective accretive transactions to maximize shareholder value.”
Other related developments from around the markets include:
ESports Entertainment Group Inc. has signed a partnership agreement with the Pro Football Retired Players Association (PFRPA), a national membership organization that develops benefits and programs for retired NFL players, to be its official esports partner and tournament platform provider. The partnership will broaden the reach of PFRPA’s Gridiron Gaming initiative through a multi-tiered program, focused on expanding retired NFL players’ presence in esports, while producing unique fan engagement experiences. The comprehensive program will include learning opportunities, live-streamed content and virtual and in-person tournaments.
Motorsport Games Inc. reported financial results for the second quarter ended June 30, 2021. Dmitry Kozko, Chief Executive Officer of Motorsport Games, commented, “I am incredibly excited to announce a newly released trailer of our upcoming flagship NASCAR title, NASCAR 21: Ignition. This is arguably the most anticipated NASCAR title ever and a proud moment for us at Motorsport Games. This is a major milestone that will enable us to fully showcase our extraordinary capabilities. We will be accepting pre-orders beginning tomorrow with an official launch date of October 28, 2021. We began generating additional revenue from new products, such as rFactor 2, that joined our portfolio during the first half of this year. This ramp-up is just beginning, adding to the momentum following our IPO earlier this year. Combined with all of the demand and community support for our upcoming NASCAR title, we believe we are well positioned to reach our updated outlook for the full year, which takes into consideration the exact timing of the NASCAR 21: Ignition release.”
Allied ESports Entertainment Inc., a global esports entertainment company, announced financial results for the second quarter ended June 30, 2021, as well as an update on several key business initiatives. This release refers to “continuing” and “discontinued” operations due to the sale of the Company’s subsidiaries owning and operating its poker-related business, the World Poker Tour. Therefore, unless otherwise noted, results presented in this release relate to the continuing operations of the Company and Allied Esports, and excludes the World Poker Tour, which is classified as discontinued operations. Commenting on the second quarter 2021 results, the Company’s CEO, Libing (Claire) Wu, said, “Overall, I am pleased with the steady progress of our Esports business as demonstrated by the 65% quarter over quarter growth in revenue. This growth was driven by the gradual recovery of the In-person pillar of our Esports business, as we slowly emerge from the COVID-19 pandemic and continue to benefit from the easing of mandated restrictions on live events and social gatherings.”
Gamesquare Esports Inc. announced that TimTheTatman, one of the most popular esports personalities with more than 18 million social followers, has joined Complexity Gaming, a top-tier competitive esports team and a part of the GameSquare group of companies. TimTheTatman brings immediate revenue opportunities to Complexity through merchandise sales, marketing activations, personal appearances, and branded content. It is expected that TimTheTatman, as a member of Complexity, will increase viewership and engagement with the team and it positions Complexity as a leading streaming organization. "TimTheTatman is one of the most followed, engaging, and entertaining personalities in esports," said Justin Kenna, CEO of GameSquare. "Working with TimTheTatman is really exciting as we build one of the largest esports companies on the planet. He is incredibly talented and brings immediate credibility with fans and brands. When we acquired Complexity, two months ago, we said that we would grow our audience and build brand relationships by creating compelling content. With more than 18 million followers, TimTheTatman has immediately enhanced Complexity’s audience and engagement. This positions Complexity as one of the leading streaming organizations on the planet and a top-tier competitive team.”
Legal Disclaimer / Except for the historical information presented herein, matters discussed in this article contains forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. Winning Media is not registered with any financial or securities regulatory authority and does not provide nor claims to provide investment advice or recommendations to readers of this release. For making specific investment decisions, readers should seek their own advice. Winning Media is only compensated for its services in the form of cash-based compensation. Pursuant to an agreement Winning Media has been paid three thousand five hundred dollars for advertising and marketing services for ESE Entertainment Inc. by ESE Entertainment Inc. We own ZERO shares of ESE Entertainment Inc. Please click here for full disclaimer.
Contact Information:
2818047972
[email protected]
