Gamesquare Esports Inc said that its subsidiary Complexity Gaming has been paid league fees which rose by more than 40% on a year-over-year basis.
The international gaming and esports company headquartered in Toronto said the increase reflects the continued growth and engagement by an audience choosing gaming and esports as a source of entertainment. It noted that this reflects broader industry trends and progress seen within Complexity and throughout the company's portfolio of businesses, including GCN, Code Red, and Cut+Sew.
"The popularity of gaming is clearly translating to growing interest by brands seeking to connect with fans," said Justin Kenna, CEO of Gamesquare in a statement.
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"Audience growth and significant increases in meaningful payments to Complexity are important signs that we are executing on a business plan that can grow top line and drive margin expansion as operating leverage takes hold. GameSquare businesses reach more than 50 million social followers and we are able to further amplify client content and activations through our digital media network that reaches more than 115 million monthly active users. It is early innings for esports but we believe we are showing that there are viable business models, which we are executing on," Kenna added.
Earlier this year, GameSquare released a letter to shareholders discussing the importance of building long-term value and delivering incredible outcomes for clients. Today’s announcement is another example of delivering on these priorities as management seeks to create wealth for its investors, the company said.
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