The stock of Esports Entertainment Group Inc (GMBL) closed the recent trading session at $2.97. The stock lost 8.62% from the previous trading session. During the last check, the stock of GMBL nosedived in the after-market, losing 31.31% to $2.04. Esports Entertainment announced the financial results for the second quarter of 2022. The company also filed forms 10-Q and 8-K with the SEC on February 22, 2022. These forms refer to the report of the quarterly earnings.
Esports Entertainment Group Inc is an e-sports and online gambling platform. The company operates by the development of video gaming and the ascendance of esports. The esports games of the company include Dota 2, Fortnite, Counter-Strike, and more. As of now, the market capitalization of GMBL is $66.50 million, with 22.39 million outstanding shares.
GMBL Quarterly Outlook:
On February 22, 2022, GMBL announced the financial results of the second quarter of the fiscal year 2022, which ended on December 31, 2021. According to the results, the revenue of GMBL increased by 515%. The company posted revenue of $14.5 million in Q2 of FY22, an increase of $12.1 million from the year-ago quarter. The net loss was $34.3 million in the second quarter of FY22 versus $7.2 million in the same quarter of the previous year. Net loss of the company increased by 370%. The company had a loss per share of $1.53 in Q2 of FY22 as compared to $0.57 in Q2 of the fiscal year 2021. Moreover, the total loss to the adjusted EBITDA in Q2 of the financial year 2022 was $6.7 million versus $3.8 million in Q2 of the financial year 2021.
GMBL effectively finished the relocation of its SportNation.com and Vie. bet iGaming destinations to its restrictive Idefix platform. An announcement was also made about the renewal of the partnership with the NBA 2K league in January 2022. OMEGA platform was also released by the company. OMEGA enables the businesses like the offering of esports by movie theaters, shopping malls, and family centers.
Management Remarks:
The CEO of GMBL, Grant Johnson, said that the results of the second quarter depict various challenges for them. He further said that they remain bullish about reaching the annual revenue of $100 million in the preceding year.
Moreover, Mr. Johnson said that they believe their future is bright with the new products and the strength of their European-based iGaming and online sports betting platform.
