GameSquare Holdings Files Q1 2024 10-Q

TL;DR

GameSquare Holdings filed its Q1 2024 10-Q, showing updated financials.

AI Summary

GameSquare Holdings, Inc. filed its 10-Q for the period ending March 31, 2024. The company, formerly known as Engine Gaming & Media, Inc., reported financial results for the first quarter of 2024. The filing details its business operations and financial condition, including balance sheets and income statements.

Why It Matters

This filing provides investors with the latest financial performance and operational updates for GameSquare Holdings, Inc., crucial for understanding the company's current health and future prospects.

Risk Assessment

Risk Level: medium — As a 10-Q filing, it contains detailed financial information that can reveal significant risks or opportunities, requiring careful analysis.

Key Numbers

• 2024-03-31 — Reporting Period End Date (Indicates the end of the financial quarter being reported.)
• 2024-05-20 — Filing Date (The date the 10-Q was officially submitted to the SEC.)

Key Players & Entities

• GameSquare Holdings, Inc. (company) — Filer of the 10-Q
• Engine Gaming & Media, Inc. (company) — Former name of GameSquare Holdings, Inc.
• Torque Esports Corp. (company) — Former name of GameSquare Holdings, Inc.
• 20240331 (date) — End of the reporting period
• 20240520 (date) — Filing date

FAQ

Key Financial Figures

• $0.0001 — nge on which registered Common Stock, $0.0001 par value GAME The NASDAQ Stock Mar

Filing Documents

• form10-q.htm (10-Q) — 1123KB
• ex31-1.htm (EX-31.1) — 18KB
• ex31-2.htm (EX-31.2) — 18KB
• ex32-1.htm (EX-32.1) — 6KB
• ex32-2.htm (EX-32.2) — 7KB
• form10-q_001.jpg (GRAPHIC) — 3KB
• 0001493152-24-020697.txt ( ) — 6695KB
• game-20240331.xsd (EX-101.SCH) — 52KB
• game-20240331_cal.xml (EX-101.CAL) — 72KB
• game-20240331_def.xml (EX-101.DEF) — 221KB
• game-20240331_lab.xml (EX-101.LAB) — 474KB
• game-20240331_pre.xml (EX-101.PRE) — 377KB
• form10-q_htm.xml (XML) — 983KB

forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate,"

forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intends," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking without limitation, our expectations concerning the outlook for our business, productivity, plans and goals for future operational improvements and capital investments, operational performance, future market conditions or economic performance and developments in the capital and credit markets and expected future financial performance, as well as any information concerning possible or assumed future results of operations. Forward-looking or implied in those statements. Important factors that could cause such differences include, but are not limited to: the sufficiency of our cash and investments to meet our liquidity needs; our limited operating history and uncertain future prospects and rate of growth due to our limited operating history, including our ability to implement business plans and other expectations; our ability to grow market share in our existing markets or any new markets we may enter; our ability to maintain and grow the strength of our brand reputation; the Company's ability to achieve its objectives; our ability to manage our growth effectively; our ability to retain existing and attract new Esports professionals, content creators and influencers; our success in retaining or recruiting, or changes required in, our officers, directors and other key employees or independent contractors; our ability to maintain and strengthen our community of brand partners, engaged consumers, content creators, influencers an

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) Condensed Consolidated Balance Sheets – March 31, 2024 and December 31, 2023 1 Condensed Consolidated Statements of Operations and Other Comprehensive (Loss) Income - Three Months Ended March 31, 2024 and 2023 2 Condensed Consolidated Statements of Stockholders' Equity – Three Months Ended March 31, 2024 and 2023 3 Condensed Consolidated Statements of Cash Flows - Three Months Ended March 31, 2024 and 2023 4 Notes to Condensed Consolidated Financial Statements 6 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 24 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 38 Item 4.

Controls and Procedures

Controls and Procedures 38

– OTHER INFORMATION

PART II – OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 39 Item 1A.

Risk Factors

Risk Factors 40 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 40 Item 3. Defaults Upon Senior Securities 40 Item 4. Mine Safety Disclosures 40 Item 5. Other Information 40 Item 6. Exhibits 41 Exhibit Index 41

Signatures

Signatures 42 PART I – FINANCIAL INFORMATION ITEM 1. FINANCIAL STATEMENTS GAMESQUARE HOLDINGS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) March 31, 2024 December 31, 2023 Assets Cash $ 7,173,871 $ 2,945,373 Restricted cash 647,610 47,465 Accounts receivable, net 25,844,156 16,459,684 Government remittances 1,347,305 1,665,597 Contingent consideration, current 207,673 207,673 Prepaid expenses and other current assets 2,995,649 916,740 Total current assets 38,216,264 22,242,532 Investment 2,673,472 2,673,472 Contingent consideration, non-current 293,445 293,445 Promissory note receivable 7,125,628 - Property and equipment, net 795,560 2,464,633 Goodwill 22,789,949 16,303,989 Intangible assets, net 27,898,454 18,574,144 Right-of-use assets 2,071,328 2,159,693 Total assets $ 101,864,100 $ 64,711,908 Liabilities and Shareholders' Equity Accounts payable $ 30,238,124 $ 23,493,472 Accrued expenses and other current liabilities 13,561,775 5,289,149 Players liability account 47,545 47,465 Deferred revenue 4,193,032 1,930,028 Current portion of operating lease liability 375,155 367,487 Line of credit 4,232,425 4,518,571 Warrant liability 62,818 102,284 Arbitration reserve 333,499 428,624 Total current liabilities 53,044,373 36,177,080 Convertible debt carried at fair value 8,394,207 8,176,928 Operating lease liability 1,898,247 1,994,961 Total liabilities 63,336,827 46,348,969 Commitments and contingencies (Note 14) - - Preferred stock ( no par value, unlimited shares authorized, zero shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively) - - Common stock ( no par value, unlimited shares authorized, 30,316,256 and 12,989,128 shares issued and outstanding as of March 31, 2024 and December 31, 2023, respectively) - - Additional paid-in capital 116,786,455 91,915,169 Accumulated other

View Full Filing

View this 10-Q filing on SEC EDGAR