Allied Gaming & Entertainment reports strong 2023 financial performance

Global experiential entertainment company, Allied Gaming & Entertainment, Inc. (NASDAQ: AGAE) unveiled its financial results for the full year and fourth quarter of 2023.

Amidst a dynamic landscape, AGAE demonstrated resilience and growth, driven by strategic initiatives and key revenue streams.

“We made substantial progress during fiscal year 2023 and have entered fiscal year 2024 in a position of strength. Allied Esports International (‘AEI’), Allied Mobile Entertainment (‘AME’), and Allied Experiential Entertainment (‘AEE’) are all poised for growth as we execute on our strategic objectives this year,” said Yinghua Chen, the Allied Gaming & Entertainment Chief Executive Officer.

“With Beijing Lianzhong Zhihe Technology Co. (‘Z-Tech’) now integrated into our business, AEE finalizing events and expanding its presence in Asia and the continued demand we have for our AEI properties and content, we are extremely excited for the year ahead and very confident in our path forward.”

Full Year 2023 Revenues:

Total revenues increased by 21% to $7.7 million compared to 2022.

Key drivers included sponsorship revenue from the renewal of naming rights for HyperX Arena Las Vegas, Season Two of Elevated, and revenue from the strategic investment in Z-Tech.

Full Year 2023 Costs and Expenses:

Total costs and expenses decreased by 21% to $14.3 million.

Lower general and administrative expenses contributed to this reduction.

Full Year 2023 Net Loss:

The net loss improved significantly to $3.6 million, compared to $10.8 million in 2022.

Full Year 2023 Adjusted EBITDA Loss:

Adjusted EBITDA loss was $4.6 million, down from $8.6 million in 2022.

Fourth Quarter 2023 Revenues:

Q4 revenues surged by 70% to $2.1 million.

Growth was driven by HyperX sponsorship revenues and Z-Tech operations.

Fourth Quarter 2023 Costs and Expenses:

Q4 costs and expenses totaled $4.0 million, a slight increase from Q4 2022.

Fourth Quarter 2023 Net Loss:

The net loss for Q4 2023 was $1.1 million, down from $1.7 million in Q4 2022.

Fourth Quarter 2023 Adjusted EBITDA Loss:

Adjusted EBITDA loss in Q4 2023 was $1.2 million, compared to $1.7 million in Q4 2022.

Overall Trends:

AGAE demonstrated improved financial performance and strategic initiatives during both periods.