GameSquare Holdings Reports Improved First Quarter 2025 Financials

GameSquare Holdings, Inc. announced Q1 2025 financial results showing a notable improvement in adjusted EBITDA despite a slight revenue decline compared to the previous year. Revenue reached $21.1 million, down from $23.5 million last year. Gross profit stood at $3.3 million, slightly lower than $3.7 million in 2024. A significant achievement was reducing operating expenses to 40.7% of revenue from 49.3%.

The strategic divestiture of FaZe Media on April 1, 2025, is expected to further enhance profitability, minimizing the cash burn rate, and eliminating $10 million in convertible debt. CEO Justin Kenna highlighted these changes as pivotal in achieving positive cash flow and EBITDA later in 2025.

Despite a net loss of $5.2 million, GameSquare's adjusted EBITDA loss decreased to 16.1% of revenue, signaling improved efficiency. The company projects annual revenue between $100 million and $105 million for 2025, driven by its robust SaaS and creative agency segments.