Skillz Inc. Files 2023 10-K

TL;DR

Skillz filed its 2023 10-K, detailing financials for the year ending Dec 31, 2023. Check it for performance updates.

AI Summary

Skillz Inc. filed its 2023 10-K on August 29, 2024, reporting on its fiscal year ending December 31, 2023. The company, formerly known as Flying Eagle Acquisition Corp., is incorporated in Delaware and headquartered in Las Vegas, Nevada. This filing covers its financial performance and business operations for the year.

Why It Matters

This 10-K filing provides a comprehensive overview of Skillz Inc.'s financial health and strategic direction for the past fiscal year, crucial for investors and stakeholders to assess the company's performance and future prospects.

Risk Assessment

Risk Level: medium — The filing of a 10-K is a standard regulatory requirement, but the underlying financial performance and business operations of Skillz Inc. could present various risks.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period for the 10-K)
• 2024-08-29 — Filing Date (Date the 10-K was submitted to the SEC)

Key Players & Entities

• Skillz Inc. (company) — Filer of the 10-K
• Flying Eagle Acquisition Corp. (company) — Former name of Skillz Inc.
• 2023-12-31 (date) — Fiscal year end
• 2024-08-29 (date) — Filing date
• 6625 Badura Avenue, Las Vegas, NV 89118 (address) — Business and mailing address

FAQ

Key Financial Figures

• $0.0001 — stered Class A common stock, par value $0.0001 per share SKLZ New York Stock Exchange
• $0 — ares of Class A common stock, par value $0.0001, and 3,430,063 shares of Class B c
• $217.1 billion — video game market size was estimated at $217.1 billion in 2022 and is expected to grow at a co

Filing Documents

• sklz-20231231.htm (10-K) — 2312KB
• skillz-fy23q4exhibit43.htm (EX-4.3) — 53KB
• skillz-fy23q4ex211subsidia.htm (EX-21.1) — 7KB
• skillz-fy23q4ex231auditorc.htm (EX-23.1) — 2KB
• skillz-fy23q4ex232auditorc.htm (EX-23.2) — 3KB
• skillz-fy23q4ex311andrew.htm (EX-31.1) — 16KB
• skillz-fy23q4ex312gaetano.htm (EX-31.2) — 16KB
• skillz-fy23q4ex321anderew.htm (EX-32.1) — 6KB
• skillz-fy23q4ex322gaetano.htm (EX-32.2) — 6KB
• sklz-20231231_g1.jpg (GRAPHIC) — 209KB
• sklz-20231231_g2.jpg (GRAPHIC) — 35KB
• 0001801661-24-000100.txt ( ) — 12164KB
• sklz-20231231.xsd (EX-101.SCH) — 60KB
• sklz-20231231_cal.xml (EX-101.CAL) — 120KB
• sklz-20231231_def.xml (EX-101.DEF) — 396KB
• sklz-20231231_lab.xml (EX-101.LAB) — 902KB
• sklz-20231231_pre.xml (EX-101.PRE) — 678KB
• sklz-20231231_htm.xml (XML) — 1694KB

Risk Factors

Item 1A. Risk Factors 12

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 42

Cybersecurity

Item 1C. Cybersecurity 42

Properties

Item 2. Properties 43

Legal Proceedings

Item 3. Legal Proceedings 43

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 43 PART II

Market for Registrant 's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant 's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 44

[Reserved]

Item 6. [Reserved] 45

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

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 46

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 60

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 61

Changes in and Disagreements with Accountants on Accounting and Financial Disclosures

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosures 107

Controls and Procedures

Item 9A. Controls and Procedures 108

Other Information

Item 9B. Other Information 110

Disclosures Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosures Regarding Foreign Jurisdictions that Prevent Inspections 110 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 111

Executive Compensation

Item 11. Executive Compensation 116

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 121

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 125

Principal Accountant Fees and Services

Item 14. Principal Accountant Fees and Services 125 PART IV

Exhibits and Financial Statement Schedules

Item 15. Exhibits and Financial Statement Schedules. 127

Form 10-K Summary

Item 16. Form 10-K Summary 129

Signatures

Signatures 130 2 TABLE OF CONTEN T S PART I NOTE REGARDING FORWARD-LOOKING STATEMENTS This report contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). This Annual Report contains forward-looking statements regarding, among other things, the plans, strategies and prospects, both business and financial, of Skillz Inc. ("Skillz"). These statements are based on the beliefs and assumptions of the management of Skillz. We also may provide forward-looking statements in oral statements or other written materials released to the public. Although Skillz believes that its plans, intentions and expectations reflected in or suggested by these forward-looking statements are reasonable, Skillz cannot assure you that it will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and assumptions. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events or results of operations, are forward-looking statements. These statements may be preceded by, followed by or include the words "believes", "estimates", "expects", "projects", "forecasts", "may", "will", "should", "seeks", "plans", "scheduled", "anticipates", "intends" or similar expressions and the negatives of these words. Forward-looking statements contained in this Annual Report on Form 10-K include, but are not limited to, statements about the ability of Skillz to: effectively compete in the global entertainment and gaming industries; attract and retain successful relationships with third-party mobile game developers ("developers" and each a "developer") that develop and update games hosted on Skillz's platform; drive brand awareness with end-users; invest in growth and

BUSINESS

ITEM 1. BUSINESS In this Annual Report, when we use the terms the "Company," "Skillz," "we," "us" and "our," unless otherwise indicated or the context otherwise requires, we are referring to Skillz Inc. and its wholly-owned subsidiaries. Overview We were founded on one simple belief: competition holds the power to unleash possibilities in all of us . We are all born with skills and when we are able to apply those skills through competition, we can achieve great things. That is the guiding principle behind why we are building the competition layer of the internet by re-inventing competitive mobile gaming. Our company's mission is to bring out the best in everyone through competition. We are creating opportunities for all people to experience an epic win and for game developers to turn their craft into financial success. Our proprietary platform revolutionizes and democratizes the mobile gaming industry by "leveling the playing field" for developers worldwide, enabling us to deliver gaming experiences that our player community trusts and loves. The trust and fairness we foster with our player community is part of the foundation upon which our business is built. Fair Play Our proprietary platform provides certainty that every player is fairly matched against another real player. That is the bedrock of competition, and a critical tenet of skill-based gaming. Unfortunately, we believe there are competitors that do not follow ethical fairness practices and utilize bots to deceive players, often matching their consumers against bots instead of real opponents. In 2024, following a jury verdict finding AviaGames willfully infringed one of Skillz's patents, the Company entered into a settlement. The evidence we made public at trial showed the competitor and their executives are using bots to build their business, which we believe deceives consumers and harms our company's competitive position. Instead of being matched with real opponents, as advertised, the

View Full Filing

View this 10-K filing on SEC EDGAR