Esports Entertainment sees 4Q revenue climb 63% sequentially on acquisition growth

Esports Entertainment Group Inc has announced fourth-quarter 2021 net revenue of $8.8 million, a 63% quarter-over-quarter increase, driven by its recently completed acquisitions of Helix eSports, ggCircuit, and BetHard.

For fiscal 2021, the company generated net revenue of $16.8 million.

“The formidable foundation we built since our 2020 IPO drove strong performance in the fourth quarter and sets the stage for achieving significant growth in FY22,” Esports Entertainment CEO Grant Johnson said in a statement.  

READ: Esports Entertainment Group says its ggCircuit application has mined over $1 million in crypto since May launch

“Based on a new record single-day performance of our iGaming division in late September, I am extremely confident in our ability to hit our guidance target,” Johnson added.

Esports Entertainment noted it expects net revenue to increase by at least 490% to $100 million to $105 million in fiscal 2022, driven primarily by the multiple acquisitions completed in calendar 2021.

As well, the company saw its 4Q gross margin as a percentage of net sales increase to 59% from 57% during the previous quarter.

Esports Entertainment’s net loss for the quarter improved to $4.8 million from a deficit of $12.4 million in 3Q.  

The company added that its shareholders’ equity increased by $63.4 million year-over-year to $74.8 million at the end of fiscal 2021.   

Esports Entertainment is a full-stack esports and online gambling company fueled by the growth of video gaming and the ascendance of esports among new generations. Its mission is to help connect the world at large with the future of sports entertainment in unique and enriching ways that bring fans and gamers together.

Contact Sean at [email protected]

Story by ProactiveInvestors