TORONTO, ON / ACCESSWIRE / July 14, 2022 / GameSquare Esports Inc. (CSE:GSQ)(OTCQB:GMSQF)(FRA:29Q1) (“GameSquare“, or the “Company“), today announced that Justin Kenna, CEO of GameSquare, acquired 405,000 common shares of GameSquare in the open market between June 1 and June 29 at an average price of $0.10. Complete details are available at SEDI.ca. Management’s purchases reflect confidence in the intrinsic value of GameSquare stock, near-term and long-term growth prospects, and the outstanding work being done by people that work within the Company at Code Red, Complexity Gaming, Cut+Sew, GCN, Fourth Frame Studios. The Company recently announced Q1 2022 financial results, including revenue of US$5.0 million and a gross margin of 32.6%. GameSquare also increased its 2022 revenue guidance range to US$23.5 to US$25.0 million from its prior guidance of US$21.5 million. As further evidence of the continued progress and organic growth, on June 26, 2022, the Company announced signing of a significant contract with a new customer which is expected to contribute more than US$2.5 million of revenue in Q3 and Q4 2022.
“We are seeing tremendous opportunities within esports, gaming, sports and entertainment as brands seek to reach gaming and esports fans resulting in increased sales activity across GameSquare’s media and esports companies,” said Justin Kenna. “Activity within the esports and gaming market remains high and we are successfully converting our growing pipeline into recognizable revenue. Our portfolio of companies is showing leadership within esports, and we are making great progress as we execute on our growth strategy with a view to achieving profitability.”
The Company has continued to make significant progress throughout 2022. Integration, optimization, and acceleration of revenue growth with a focus on profitability is occurring across our businesses as we invest in organic growth. The following is a sample of recent announcements, with all press releases available on investors.gamesquare.com and at SEDAR.com;
Announced that GCN, Gamesquare’s full-service media and marketing agency serving the sports and esports industry, has been awarded a significant contract by a new customer. The contract is expected to contribute more than 10% of the upper range of the Company’s 2022 revenue guidance of US$23.5 to US$25.0 million;
Secured a US$5.0 million credit facility funded by its largest shareholders, Goff Capital and the Jones Family, the owners of the Dallas Cowboys;
TimTheTatman’s Tailgate, a two-day gaming and music festival, announced musical performances to be headlined by country music star Kane Brown;
Partnered With YouTube Gaming to expand content and community activations at TimTheTatman’s Tailgate;
Complexity Stars hosted a Call of Duty: Warzone Tournament live from HyperX Esports Arena in Las Vegas featuring TimTheTatman, DJ Duo, Lost Kings, and Complexity talent at UFC International Fight Week;
GameSquare along with NFL Superstar Leonard Fournette, a Complexity Stars founding team member, presented at Collision Tech Conference;
The Company’s directors were re-elected which include Travis Goff, Tom Walker, Justin Kenna, Paul LeBreux, Craig Armitage, and Kevin Wright at its annual and special meeting of shareholders; and
Shareholders approved, at the Company’s discretion, a 4-to-1 share consolidation. A further update will be provided by the Company when and if the Company determines to proceed with the share consolidation.
About GameSquare Esports Inc.
GameSquare Esports Inc. is an international gaming and esports company headquartered in Toronto, Canada. The Company is seeking to acquire additional assets and entities serving the gaming and esports markets and, more broadly, in sports and entertainment. GameSquare owns a portfolio of companies including Code Red Esports Ltd., an esports talent agency serving the UK, GCN, a digital media company focusing on the gaming and esports audience based in Los Angeles, USA., NextGen Tech, LLC (dba as Complexity Gaming), a leading esports organization operating in the United States, and Swingman LLC (dba Cut+Sew and Zoned), a gaming and lifestyle marketing agency based in Los Angeles, USA.
For further information, please contact, Investor Relations for GameSquare Esports Inc.:
Kevin Wright, President and Chairman
Phone: (647) 459-0423
Email: [email protected]
This news release contains “forward-looking information” and “forward-looking statements” (collectively, “forward-looking statements“) within the meaning of the applicable Canadian securities legislation. All statements, other than statements of historical fact, are forward-looking statements and are based on expectations, estimates and projections as at the date of this news release. Any statement that involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions, future events or performance (often but not always using phrases such as “expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain actions, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements. In this news release, forward-looking statements relate, among other things, to: the Company’s future performance; continued growth and profitability; and the Company’s ability to execute its business plan. These forward-looking statements are provided only to provide information currently available to us and are not intended to serve as and must not be relied on by any investor as, a guarantee, assurance or definitive statement of fact or probability. Forward-looking statements are necessarily based upon a number of estimates and assumptions which include, but are not limited to: the Company being able to grow its business and being able to execute on its business plan, the Company being able to complete and successfully integrate acquisitions, the Company being able to recognize and capitalize on opportunities and the Company continuing to attract qualified personnel to supports its development requirements. These assumptions, while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors which may cause the actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: the Company’s ability to achieve its objectives, the Company successfully executing its growth strategy, the ability of the Company to obtain future financings or complete offerings on acceptable terms, failure to leverage the Company’s portfolio across entertainment and media platforms, dependence on the Company’s key personnel and general business, economic, competitive, political and social uncertainties including impact of the COVID-19 pandemic and any variants. These risk factors are not intended to represent a complete list of the factors that could affect the Company which are discussed in the Company’s most recent MD&A. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on the forward-looking statements and information contained in this news release. GameSquare assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
In addition, the estimates of revenues may be considered “future oriented financial information” or “financial outlooks” (collectively, “FOFI”) within meaning of applicable securities legislation. FOFI has been prepared by the Company’s management to provide an outlook of the Company’s activities and has been approved as of the date of this news release. The Company believes that the prospective financial information has been prepared on a reasonable basis, reflecting management’s best estimates and judgments, and represents, to the management’s knowledge and opinion, the Company’s course of action. The reader is cautioned that this information may not be appropriate for any other purpose and the reader should not place undue reliance on such future-oriented financial information and financial outlooks. FOFI, as with forward-looking statements generally, are, without limitation, based on assumptions and subject to the risks set out above. The Company’s actual financial position and results of operations may differ materially from management’s current expectations and, as a result, the Company’s revenue may differ materially from the revenue provided in this news release. Except as required by law, GameSquare assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.
Neither the Canadian Securities Exchange (“CSE“) nor its Market Regulator (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: GameSquare Esports Inc.
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