AGAE - Earnings call 1 2023 | Allied Gaming & Entertainment Inc.

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good afternoon, and welcome to the Allied Gaming & Entertainment Inc.

First Quarter 2023 Earnings Conference Call. [Operator Instructions] Please note, this event is being recorded. I would now like to turn the conference over to Tyler Drew, Addo Investor Relations. Please go ahead.

Tyler Drew

Thank you, operator. to Conference Gaming Call. welcome First Entertainment and Earnings Quarter afternoon, the & Allied XXXX Good

Chief Anderson. Speaking Gaming Executive and & the Entertainment's Officer, on call Chief Officer, today Yinghua are Allied Financial Roy Chen;

that and Before I over differ expect, such remarks goal call targeting, turn intend, Words variations similar plan, contain statements. these may, could, and our estimate, should, please forward-looking judgment, to may as prepared management, the could expressions note words will, believe, of seek, variety results anticipate, from statements. Actual in forward-looking documents identify to the and statements the a intended by filed implied to the including Securities forward-looking in Exchange of materially such factors filings, are those discussed discussed Commission. risk with company's due public factors

reflected its result as expectations obligation be undertakes or otherwise. company forward-looking assumptions, to forward-looking the such update reasonable upon company whether information, the statements will that can a based believes give assurance any of events no it new expectations in future attained. The no are Although statements,

website, non-GAAP certain & to presented and represents The pleasure the turn believes definitions explanation in are my to measures. appropriate financial which it this earnings addition, the the GAAP of measures such of measures call and company reconciliations CEO, non-GAAP information to Gaming such release, Yinghua? non-GAAP that, Allied now on company's issued available an Entertainment's of Chen. is financial why the company's useful this investors. With the over Yinghua to is financial was afternoon measures, call In presents financial

Yinghua Chen

provide the and the into second today. joining and all, strong our continued thank XXXX. start I'm and to Thank for year you, Tyler. you Allied's to quarter of very to excited on Good us momentum remainder the update afternoon you

quarterly compete evolve. We with and world Allied to assets, and As entertainment the conference to to available. entertainment now to captivating on leveraging number landscape last renowned services experiences consumers as with new stimulating experiences growing recognize of our we the continue is gamers products and provide our to crucial laser-focused of it call, provide unique you on spoke the with formats increasing is various options in rapidly

We to this help ongoing with consumers turn, cost-effective connect brands and, positioned most shift in are in capitalize on uniquely ways.

this over reports of fully a the of Gallup evidence relationship that share and consumers XX% growth represent customers. As profitability, shift, engaged average in revenue wallet, premium

customers. Our for lasting achieve both to events, leave the brand and and this often are live in-person participants and carefully impressions virtual, associated engagement our loyal who activations become designed

first flagship in-person compared the quarter starting let's Event, during LVL turn strong, third-party our X.X% latter XXXX. Speaking produced Demand located events, remains CES include we proprietary a Picture third-party Vegas. quarter, of events, UP and recording with events the Arena, the XX increase Clash, to events events at Astral XX of to XX of Hotel, events, few. to and View comprising total name HyperX now our Sonic ReliaQuest, just venue, Luxor a and a Nighthawk HyperX Notable Event, with Las Production,

platforms. thrilled HP/HyperX ensures along an outside inside as will branded over were continue arena to enable of across the Arena naming signage with with our venue content promotion, total agreement arena rights as the who well with working and to we will successful Following HP/HyperX, receive will us HP/HyperX, partner upgrade. announce the peripherals quarter, HyperX social also another has remain agreement and multiyear flagship naming all media prominent been renewal This the exclusive and years, of our branding and as that Vegas. Las incredible

be further Omen events variety we another e-sports gamers' of HP line which retrofit HyperX will will communities. PCs gaming at partner and top the yet Excitingly, co-branded experiences zones the focused within continue Arena, also will way viewers' arena to and gaming is on the enhance we to update In the a and and used and of addition, monitors on growing experiences.

sponsor As includes agreement, business and the our on Mobile value our prominent Allied reach also part expansion renewal Omen that expansion well and further this model. HP the partnership HP/HyperX branding and see Esports of of equipment. will Truck, which now signage of as truck proof the as the The the is of gaming brands

We highly more live experiences really all the Allied's producing of and of virtual own shows making our on arena, which progress and brings engaged content assets are on together from also capability. live unique and focuses

content of together testing whom in of will market them to influencers, third generate these and events to have we us targeting with these look revenue multiple will who preestablished in through the process bring join to to deliver and We are relationships We're the quarter. in creators many channels shows, with.

season, and by million on numbers new OTK collaboration by sponsored ELEVATED, a million these on original than last VOD full most of gaming to live Moving This our over a collective views XX ELEVATED with program. different just who first the to reach Insurance, X slate the rise of we're XX more X Season excited their brought see OTK, King, True more with forces and across million have be content we're and Each X content episodes in hosted joining than episode episode Progressive of views One and week. organizations with of or watched OTK. and Twitch. X award-winning channels. collective episodes, followers entertainment the of its XX Season one members debuted XX X our will

which million Emmy X.X Award-winning available of is homes. original has other Our WANNABE, YES App, the series, reach a on

from our will our plans the resources Season have content up creators entertainment which ELEVATED gaming show unique communities. further participation and to utilizing continue to by and build and and from winners include our X grow we assets to production, the value bring also viewers outstanding fully We partners

further be as they released original in appropriate the least, mobile on content our continuing to you opportunities We strong content in the to expand our the forward will look seasons identify pipeline brought We not certainly continue to and near future a space. efforts have market. Last, are are gaming to but future. to updating we offering of

become mobile gaming generate revenue the a expected of which seen through offerings gaming XXXX. We're at product looking opportunities of quickly the and take soon XX% to in than forward to XX% and market. XXXX, to this advantage our as in global consumers than look into grow more more with engaging expand have We CAGR of with is over billion new growing they market available. as $XX We equates to

price confident that $X total stock our Allied updates reach capabilities, brands call in share community. the CFO, name for like we of Anderson, gaming like and give approximately our become on and I'd over million work. are that well summary, repurchased undervalued. are the you QX Roy, I encouraging reiterate results is And our seeing maintain in now to XXXX. In call them. With out our assets aspire strategic I'd that business, to to QX from of that end our early that, we is Roy shift plan well To announced the expand stock we financials. consumers to and as Before validate we in AGAE to to our we repurchase our turn remain up under to the turn trusted belief further November, to this to positioned as the the in gaming go-to the and continue and on as we build trust

Roy Anderson

first operations. Total expenses in $X.X expense first in well of administrative the of content year-over-year Thank The you, a cash, accounting for X the were expenses recognized $X.X X, fourth decline large XX Las in to or in quarter Allied flat first of the quarter 'XX. XX% was our quarter of million principally timing will first Total of timing first XXXX. series, of is of third-party down year general full compared in quarter from essentially and quarter of at episodes, of to million a events HyperX of a first held distributed This Costs attributable of Season part recognition expenses, issue and reduction revenues million from and a XXXX the year-over-year and as Yinghua. were Truck XXXX XXXX which proprietary of and and revenues X.X% partially entirely Arena consisted loss $X.X million in Esports prior the ELEVATED. and in the recognized million, was for quarter the period. from offset in primarily and to the ELEVATED $X.X compared to original launched company's X and $X.X compensation. Net for be XXXX. XXXX. as Vegas our costs timing Season XX% severance with loss the and decreased the by quarter of quarter our million decrease was episodes $X.X net the second increase stock-based

QX $X million XXXX approximately included compared was for income earned for quarter a of first $XXX,XXX interest XXXX. of XXXX, $X.X loss loss with the on million results as XX% investments. Adjusted reduction a QX in of EBITDA Our short-term

Our amortization, interest income. depreciation, and stock-based adjustments compensation adjusted EBITDA includes for

on our moving to Now balance sheet.

and XX, XX, totaled compared $X position cash. million including investments also of at of XXXX, million to million March included As cash which XXXX, short-term $X million, of December our cash, $XX.X $XX.X restricted restricted

transactions XXX, X,XXX,XXX recorded commencement stock of $X.XX million, new us XXXX, stock operating total the As $XX.X our of the the repurchases in common December the with our to the XX, of $X.XX shares $X.X selling of excluding This portion ASC quarter open-market since capital lease we average cost fees. total at brings leasing company's of current of the liability repurchase repurchase broker working on in price implementation plan. the during and an was million, program, of XX, that million was March under for in standard, position $X.XX acquired including a million an of XXXX. Also connection a of

the market are solid stock continue an trending so of factors. Overall, turn on continue in closing on remarks. based ELEVATED to other manner, recognizing plan. I evaluation it for a strategic amount was purchases from back at timing Allied, Moving well and we forward now of revenue and QX to forward, of X will price, we any and quarter moving will call Yinghua over be our and far begin Season the as conditions,

Yinghua Chen

to for at companies clear established out expand and are crucial an multibillion-dollar brands our Thank our you, marketplace. is the gaming Roy. inroad as name becoming offer growing These potential. and that market's an community with and gaming are we in exciting It to we the community times AGAE ecosystem who understand partnership build this the world-class

on with speaking our expanding with second we forward focused us you continued quarter support. ahead, across ecosystem. Thank joining for points look the to We your today gaming and you remain results as providing discuss gamers in as to Looking well our will capabilities touch again entire engaging August.

Operator

The conference Thank attending today's concluded. for you and you now may disconnect. presentation, has now

Allied Gaming & Entertainment (AGAE) 11 May 232023 Q1 Earnings call transcript