Business
Motorsport Games Reports First Quarter 2024 Financial Results
MIAMI, May 07, 2024 (GLOBE NEWSWIRE) -- Motorsport Games Inc. (NASDAQ: MSGM) (“Motorsport Games” or the “Company”) today reported financial results for its
About this update from Motorsport Games Inc.
[{"type":"text","content":"MIAMI, May 07, 2024 (GLOBE NEWSWIRE) -- Motorsport Games Inc. (NASDAQ: MSGM) (“Motorsport Games” or the “Company”) today reported financial results for its first quarter ended March 31, 2024. The Company has also posted the first quarter 2024 earnings slides highlighting key milestones that occurred in the period, which are accessible on the Company’s investor relations website. “The first quarter of 2024 marked a significant milestone in the company’s rejuvenation with the release of the first game developed solely by Studio 397, Le Mans Ultimate, to recognizably positive reviews,” commented Stephen Hood, President and Chief Executive Officer of Motorsport Games. “Thanks to the hard work of our talented development team, marketing staff and our partners at the Automobile Club de l’Ouest, we believe Le Mans Ultimate has strong potential with a passionate fanbase and an innovative game experience that we plan to build upon in future updates.” “We are still pursuing our efforts to reduce costs and increase focus, notably with the sale announced last week of Traxion, our prior motorsport and racing games community content platform,” continued Hood. “Our goal is to combine these efforts with exploring new marketing and revenue opportunities with Le Mans Ultimate to further our business objectives.” First Quarter 2024 Business Update Launched Le Mans Ultimate in Early Access on PC to recognizably positive user ratings on Steam with approximately 79,000 units sold in Q1 2024. Revenue increased to $3.0 million in Q1 2024, up by $1.3 million compared to Q1 2023, with a gross profit margin of 78.0% compared to 27.8% in the prior year period.Net loss decreased to $1.7 million in Q1 2024 compared to a net loss of $5.3 million in Q1 2023, an improvement of 68.0%. Net loss attributable to Class A common stock was $0.60 per share in Q1 2024, compared to $2.33 in Q1 2023. Executed BTCC Settlement Agreement and entered into new BTCC License Agreement. Financial Results for the Three Months Ended March 31, 2024 Revenue for the first quarter of 2024 was $3.0 million compared to $1.7 million for the same period in the prior year, an increase of $1.3 million, or 75.2%. Gross profit was $2.4 million compared to $0.5 million for the same period in the prior year, an increase of $1.9 million, while gross profit margin increased to 78.0% from 27.8%. Ne...