- Q2 2023 revenue of US$12.6 million, an organic increase of 53% on a pro forma basis over Q2 2022
- Q2 2023 Adjusted EBITDA (excluding Corporate Segment) of US$3.3 million, an organic increase of 24% on a pro forma basis over Q2 2022
- Q2 2023 Adjusted EBITDA (including Corporate Segment) of US$2.2 million, an organic increase of 34% on a pro forma basis over Q2 2022
- User Sessions on Playmaker’s web properties exceeded 653 million in Q2 2023
- Playmaker’s North American-produced video podcasts generated a record 5.1 million streams in Q2 2023
Toronto, August 14, 2023 – Playmaker Capital Inc. (TSX-V: PMKR) (“Playmaker”) the digital sports media company that delivers authentic content experiences through its portfolio of sports media brands, is pleased to report its financial results for the second quarter ended June 30, 2023 (“Q2 2023”).
- Cash and Cash Equivalents – Cash and cash equivalents were $9.7 million at June 30, 2023 compared to $11.4 million at March 31, 2023.
“Q2 was a period of focused execution against our five strategic priorities for 2023, all aimed at better integrating our complementary businesses to drive organic revenue growth and realize efficiencies. During the quarter, our ecosystem of media and affiliate businesses refined internal processes, expanded syndication networks, enhanced video production and monetization capabilities, and extended strategic partnerships with tier-one advertisers and sports betting operators. Entering the sports-heavy Q3 and Q4 periods, Playmaker is better positioned than ever to drive value for fans, customers, and shareholders.”
Jordan Gnat continued, “Subsequent to the quarter-end, we acquired leading Quebec sports media group, La Poche Bleue, to round out our Canada-wide reach. La Poche Bleue plants a flag in the Quebec market, bolsters our video podcast portfolio, and strengthens our direct-to-consumer segment in advance of the upcoming NHL season. Additionally, founders Maxim Lapierre and Guillaume Latendresse, and Managing Director, Louis-Philippe Dorais, are tremendous additions to our senior leadership team.”
Mike Cooke, CFO of Playmaker added, “Though Q2 falls during a quiet period in the sporting calendar, we are very excited to have delivered another quarter of strong top-line growth. Meanwhile, our consistent focus on profitability is reflected in continued growth in Adjusted EBITDA – and in the fact that we have generated $6.9 million of year-to-date cash flow from operating activities. With $9.7 million of cash at quarter-end and $20.0 million of available credit – including $10.0 million in a new credit facility closed subsequent to quarter-end – we are in a strong financial position to continue executing on our strategy as we head into the second half of 2023 and beyond.”
Media Businesses Continue to Scale & Grow Engagement
Playmaker experienced strong engagement metrics across its owned and operated media brands in Q2 2023. During the quarter, Playmaker’s web properties generated more than 653 million sessions and its video podcasts received over five million streams. The Company’s North American footprint grew significantly in Q2 2023, and subsequent to the second quarter, Playmaker acquired Quebec sports and entertainment group, La Poche Bleue, to bolster its North American audience reach.
- Futbol Sites maintained a strong leadership position in the Brazilian market, with core properties Bolavip Brazil, Fanaticos Por Futebol, and Antenados no Futebol generating more than 300 million sessions in the quarter.
- The Nation Network continued to grow engagement with its lineup of video podcasts and achieved a quarterly record 5.1 million streams in Q2 2023, an increase of more than 300% over Q2 2022. In June 2023, TNN generated a monthly record 2.02 million streams.
- Yardbarker attracted a monthly average of 8.9 million unique users in Q2 2023, an increase of 52% over Q2 2022. Additionally, Yardbarker generated a monthly average of 19 million user sessions during Q2 2023, an increase of 51% year-over-year.
- Subsequent to Q2 2023, Playmaker expanded its North American reach with the acquisition of La Poche Bleue (“LPB”). The addition of LPB enabled Playmaker to establish a presence in Quebec to round out its Canada-wide reach. Additionally, LPB expanded Playmaker’s growing lineup of video podcasts ahead of the upcoming NHL season, and bolstered its direct-to-consumer business.
Strong Partnership Demand from Corporate Advertisers, Sports Betting Operators & Leagues
Playmaker executed multiple long-term direct sales and partnerships in Q2 2023. Direct sales accounted for 54% of Playmaker’s core media advertising sales for the period, an increase of 25% over Q2 2022. Direct sales and affiliate are growing segments of Playmaker’s revenue generation, and the Company continues to expand these revenue streams to maximize higher-margin monetization opportunities.
- Futbol Sites executed numerous direct campaigns with leading iGaming and sports betting operators in Brazil. Additionally, Futbol Sites activated campaigns with global advertisers across branded content articles, podcast and video integrations, and widgets. Futbol Sites Q2 2023 direct sales revenue increased by 53% over Q2 2022, bolstered by 88% year-over-year growth of the sports betting customer segment.
- Playmaker has identified its affiliate business as a high-growth opportunity, particularly in the U.S. market as additional states regulate online sports betting and iGaming. Playmaker’s Senior Leadership and Revenue Operations teams continued their integration efforts with its digital media businesses and Wedge in Q2 to unlock value by combining its vast audience with Wedge’s user acquisition and conversion expertise.
- Futbol Sites affiliate revenue increased 119% in Q2 2023 over Q2 2022, driven primarily by the sports streaming category in the US.
- The Nation Network extended partnerships with key sports betting operators for the upcoming 2023-24 NHL season. The campaigns will be activated across both web and podcast properties, including Daily Faceoff, FlamesNation, OilersNation, TheLeafsNation, and Coming In Hot, among others.
The Company will host a management conference call to discuss its Q2 2023 financial results on August 15, 2023, at 10:00 a.m. (Eastern Time). Hosting the call will be Jordan Gnat, Chief Executive Officer; Jake Cassaday, Chief Operating Officer; and Mike Cooke, Chief Financial Officer.
To participate in the conference call, please access the webcast link or dial-in using one of the following numbers approximately five minutes prior to commencement and ask to join the Playmaker call:
Dial-In Number (Toll Free): 1-844-707-6933
Dial-In Number (International): 1-412-317-5796
A replay of the Conference Call will be made available at playmaker.fans/investors.
To sign up for Playmaker Investor Alerts, visit: PMKR Investor Alerts.
TSX VENTURE EXCHANGE DISCLAIMER
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Some of the information presented in this press release includes non-IFRS financial measures, including, “EBITDA”, “Adjusted EBITDA”, and metrics that are presented on a pro forma basis. These measures are not recognized measures under IFRS and do not have standardized meanings prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement IFRS measures by providing further understanding of the Company’s results of operations from management’s perspective. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of the Company’s financial information reported under IFRS.
“EBITDA” is earnings before interest, taxes, depreciation and amortization.
“Adjusted EBITDA incl. Corporate Segment” is earnings of the Company before interest, taxes, depreciation and amortization, excluding the impact of stock based compensation expenses, acquisition-related costs, and any other one-time costs. “Adjusted EBITDA excl. Corporate Segment” also excludes the impact of head office costs.”
“pro forma” is an adjustment to incorporate the results of any acquisitions and dispositions made through June 30, 2023, assuming each acquisition or disposition occurred on the first day of the period being presented.
This press release may contain forward-looking information within the meaning of applicable securities legislation, which reflects Playmaker’s current expectations regarding future events. The words “will”, “expects”, “anticipates”, “believes”, “plans”, “intends” and similar expressions are often intended to identify forward-looking information, although not all forward-looking information contains these identifying words. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Playmaker’s control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. Such risks and uncertainties include, but are not limited to: changes in general economic, business and political conditions. Playmaker undertakes no obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
ABOUT PLAYMAKER CAPITAL INC.
Playmaker Capital Inc. (TSX-V: PMKR; OTC: PMKRF) is a digital sports media company that acquires and integrates premier fan-centric media brands, curated to deliver highly engaged audiences of sports fans to tier one advertisers, online sports betting operators, and sports federations and leagues. Leveraging its in-house technology stack, Bench, and with a 360-degree view of sports fans, Playmaker delivers authentic digital content experiences for sports fans and best-in-class results for its partners across the Americas.
Playmaker reports in U.S. dollars, except where noted otherwise, and in accordance with International Financial Reporting Standards (“IFRS”).
To sign up for Playmaker’s Investor Alerts, visit: playmaker.fans/investors.