Earnings call transcript Q4 2022

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Operator

Good day, everyone. Welcome to FaZe Holdings Inc. Fourth Quarter and Full Year 2022 Earnings Call. [Operator Instructions] Additionally, before getting started, please be advised that due to a technical error, the company reposted its 2022 shareholder letter to the Investor Relations site at approximately 5 p.m. Eastern Time. access version to the advised are this of updated letter. Investors

your now Please today's like would host go to sir. Counsel. I General introduce for Johnson, conference, ahead Kyron

Kyron Johnson

Lee joining Chief Pachler, Officer. me everyone and Financial us. you Executive Officer; for today Thank are Trink, Chief Christoph With

company's management within include begin, we the the sales, product financial federal laws. These by meaning of for to call FaZe will outlook, that comments remind statements of and Before this you include statements development Holdings any want and fact. made besides I timing during plans forward-looking statements securities historical the and other

are statements forward-looking risks and current based These expectations and involve on management's uncertainties.

materially recent website at uncertainties are a may actual performance our affect from of SEC available please on our differ cause these the review filings factors For statements, discussion which most and that or fazeclan.com. to risk results

addition, In discuss non-GAAP financial call, measures. may during this certain we

sensitive information, this law, Except to date the of Holdings the non-GAAP GAAP information contained measures, content comparable accurate fazeclan.com. of call. of directly by including to obligation update required these these revise The or as undertakes no otherwise any shareholder circumstances this the after our most date of reconciliations letter FaZe website available and or measures call time at Additional on regarding as also contains measures is statement conference broadcast. events our only in reflect of this to

to turn am the With CEO, pleased that, Trink. to I over call our Lee

Lee Trink

company. to encourage opportunities the we Relations we year the us includes of our on and posted you, website, read our the and everyone. joining like shareholder full first hello, on full strongly public call a on business Kyron, update earnings state ahead today to a see letter Investor Thank us. of for you which everyone as Thank I'd

Christoph financial priorities the to for over to highlight discuss XXXX I'd CFO, call results, to our call in detail. financials our the more On turning before today, and review like the our strategic

hitting July, First, new for particularly to reminder brand over a to the we've the worldwide. we year. proud in FaZe influence a that These Despite half a million, people billion target our our to $XX environment, expanded are of I the am reach and market network public announce secured achievements new our since our welcome partners, created. listing achieved revenue of collectively have what brand talent roster, good of we and challenging

a the and at group started an What sits exciting position of today for creator unique economy. as of edge leading hobby in a teenagers the

recent why in deal. had Nike, with most at previously about Nike, can category, thrilled in With couldn't we've and other right first the of but more and remain our Nike Porsche you our confident particular, for knew see the results what opportunities we partnerships can be the Looking we we We fit we patient us collaboration. best product the are achieve. was for with

can't We next. show store what in have we also to you wait

operating So but environment. know near-term we see in we're a also things great we ahead, difficult

to position. cost to We've healthy in reevaluated the profitability. regarding better embarking align other streamlined and and our XXXX our capital path We have a establish to for business initiatives on savings goals staffing with foundation a

cost that look to the we to we're significant savings progress, continue making report happy am and for business. I in

very drive talent brand. in FaZe on The core at FaZe to the drivers, talent heart year, the high revenue of We're For refreshing optimizing businesses. and talent network network diligently sits sponsorships, and sponsorships on we and strength esports the both engagement talent, our to coming focused our are concentrate esports.

past losses, and That difficult the for as XXth Slam. believe business being year, to extremely improves. first bringing Intel of things will succeed and as the investors. the reduce economy roster committed weekend, proud becoming our Grand several Counter had We're Speaking growth position boost that championship Team a of home esports, our to know a the to just months Clans our strategy international implementing put that. Strike historic ever this been win considerably said, an we we success and are have and FaZe's a in We're stronger FaZe

As partners our and the chip has blue FaZe potential. tremendous we talent, and demonstrated brand by exceptional believe value

native the that Z, the content a products the driving. in of on look forward potential We to are this both capitalizing generation nexus consumption our of size unique We XXXX beyond. brand changes that sits Gen and in at digitally and is of and

outlook Christoph our in to financials more review I'll the to now it detail. and turn over

Christoph Pachler

hello, in points found highlight key from financial Thank year. about everyone. and you, full information our our But shareholder I'd letter. a few the be Detailed Lee, to performance can like

mentioned, year million, XXXX we $XX aligns our which plan full with the Lee revenue As for reported of year.

key brand was driven the Revenue has throughout primarily focus operational by which been partnerships, our year.

names Our Comcast, diverse, program revenue XFINITY MoonPay such as as household as recently portfolio Porsche, Drink, a high others, Ghost Energy brand from McDonald's, launched partnerships Nike. includes well margin, DoorDash, and stellar has with and is

ongoing million we expenses, Our workforce later XXXX. our in of Note year includes XXXX streamlined loss EBITDA and public the a and that compliance adjusted early year. higher company significant $XX.X headcount in for the

annual efficiencies. from expenses, expect XX% in to We operational in with savings this result a headcount reduction additional

savings banks. year million held to our have sufficient in in and following the previous we America's sufficient initiatives returns, generate in We not one our the during content cash, we cost also biggest will fund that discussed help confidently in forward. near-term earnings $XX.X XXXX, growth going did call, exited plans basis late our of ended reduce capital the space This executed. which is cost with intensive initiatives reductions we As further

capital continue further structure. to opportunities enhance examine We to our

not of we we the following for a the adjusted are planning cost our guidance macro EBITDA XXXX light growth of implemented. providing reductions in uncertainty, are narrowing significant for we economic While have and revenue loss

pursuing to you we're solid the of top by year We forward and our our expanding new expect be pipeline new unfolds. actively We a to into as business updating opportunities. partnership categories line driven brand look

closing, There to more done have committed believe work for lot do, work FaZe team seeing months over delivering our a and management the we are much several of hard results is and ourselves to past In and for through our this Board to position shareholders. we to success.

call questions. With open like we'd to for the that,

Operator

first Instructions] Steven [Operator go FORCE today Saltz with We'll to Family Office.

Steven Saltzstein

you. sponsorship can Great these repeatable in on XXXX Thank the And likely job, provide Can length we figures assume XXXX? color are guys. for of sponsorships contracts? you

Lee Trink

But typically over Thanks, of XXXX, to we've ability Historically, and high that year-on-year. year-after-year. that quality answer kind deals sponsors, increases question, our list a We've are the kept the because shown longer. year your of and them Steven. regard we've value Sure. great sponsorship sponsors. only even or To to demonstrated second our growing to of the Not experienced continue years. that improving really last getting quality sponsors in few the partner a maintaining but length,

moved brand robust Over as renewals. we've had year globally up XXXX, and endemic of to pipeline brands which partnerships, note from brands the deals both iconic that mentioned, from we've XX Christoph XX in Porsche McDonald's, years, and and got recognized new a before, gaming significant the we is significant like, Nike. I'd partnerships

business So you. XXXX. for Thank we're brand about optimistic partnership the

Operator

Capital. We'll hear next with Dream [indiscernible] Blue from

Unidentified Analyst

make Great you and partnerships year. partnerships. how those? everybody. In and announced Porsche, Nike in with do from to QX, wondering My much Hi, relation question you I'm the is money

Christoph Pachler

So thanks, Mark.

deals. standing don't partnerships, overall. those the of two we're particular, while doors buckets, we those in see We lot beyond obviously So benefits That significant put about starting on of revenue value we we size. brand. in But that FaZe's those the association our the talk deal And other what of about the opened individual talk of enhanced comment a revenue being you generates. about I'll business two have already the is, partnerships really the said, to have that even note don't the individual and highlight

Operator

Lee I'd And things to at time, to this for closing Trink, turn remarks. like any back

Lee Trink

everyone, thank participating takeaway Well, in a plan and for that What we've FaZe. place. interest again, your it. got in I strong the say for Got are today would for you,

a our mid-May. We've performance have great to the QX. executing look you. conference We in forward position in execution had on day QX to really And Thank improved And strong drive XXXX. are you a on We put company we everyone. a in call updating in it.

Operator

And all us. joining for today's conclude will you that conference. Thank again,

may disconnect. You now

FaZe Holdings Inc - Ordinary Shares (FAZE) 30 Mar 232022 Q4 Earnings call transcript