Allied Esports Entertainment has begun experienced a financial growth and is finally able to cut its losses thanks to the boom in the most recent quarter. Allied Esports includes many elements, such as the World Poker Tour (WPT).
The company stated that in Q2 Black Ridge Acquisition Corp’s purchase of Allied Esports (for $213.8m of worth) increased their total revenues for 17.7% ($7.3m) compared to the previous quarter.
Esports Arena Las Vegas and gaming truck events earned them $300,000, while the distribution of WPT content made an additional profit of $800,000.
Thanks to WPT, their revenue from that event only has grown 5% ($5.1m) while revenue from Allied Esports grew 60% compared to the first quarter of 2019.
Total costs and expenses (until June of 10th) were $10.1m.
The losses have been getting smaller too. Adjusted losses before taxes, depreciation, and amortization narrowed 35.5% to $1.0m while operating losses went down to $2.7m in Q1 (from $3.9m). Net loss after tax amounted fell to $2.8m. It was $3.9m in the previous quarter.
For the first six months of 2019, revenue was $13.6m, which is 39.7% up, compared to the previous year.
Expenses went down to $20.2m (or 22.1%) and Allied Esports operating loss was cut down for 59.2% compared to the previous year.
After taxes, net loss was reduced by 62.2% ($6.7m).
Frank Ng, chief executive of Allied Esports is pleased about the company’s performance:
“In the second quarter and through the first half of 2019, we successfully executed on our business plan and are excited about how both Allied Esports and WPT are performing.”
“We are confident in our long-term strategy and look forward to continuing to drive growth and maximize shareholder value.”
Black Ridge Acquisition purchased WPT Enterprises and Allied Esports for $213.8m and according to results, it has turned out to be a sound move.