Guild Esports PLC (LSE:GILD, OTC:GULDF) nearly tripled its half-year revenue and said more sponsorship deals are in the pipeline.
In its unaudited results for the six months ending 31 March 2021, the global esports team and lifestyle brand said revenues grew 195% to £1.09mln, largely due to a growth in sponsorship income.
Gross profit climbed from £110,000 to £710,000, although the company increased its loss before tax to £4.96mln from £4.28mln, “reflecting investment in teams and operational staff, infrastructure, Guild academy and content creation”.
Looking forward, the company said it is on track deliver to deliver further revenue growth, driven by contracted sponsorship deals, of which it has more than 30 prospective deals in the pipeline.
According to its statement, “cost-cutting and great efficiencies” should lead to an approximately 20% decrease in its annual costs.
Operationally, the group signed its largest sponsorship deal so far in the first half, a £4.5mln three-year sponsorship with Bitstamp.
It also launched an all-female roster for Valorant, a first-person shooter game, and won two major esports trophies in Fortnite, also a first-person shooter game.
In its statement, the company that David Gardner has stepped down as non-executive director with immediate effect to pursue other interests.