Engine Gaming and Media, Inc. Earnings Recaps
Q1 2026
May 18, 2026
GameSquare’s shares fell 15.2% following earnings as investors reacted negatively to a cautious outlook and a persistent adjusted EBITDA loss, signaling concerns around profitability despite revenue growth and recent acquisitions.
Key takeaways
- Revenue nearly doubled year-over-year, increasing by 95%, supported by the integration of recent acquisitions Click and TubeBuddy.
- Gross profit expanded by approximately 77%, adding $2.4 million, reflecting scale gains within the business.
- Adjusted EBITDA loss remained at $656,000, consistent with management’s seasonal expectations but still negative, underscoring ongoing profitability challenges.
- The GameSquare Experiences division (GSX) achieved record bookings exceeding $10 million in Q1, driven by large video game publishers and global brand demand.
- Despite operational progress and platform momentum, the market reaction suggests investor skepticism about the company’s path to sustained profitability and growth execution.
Q3 2025
Nov 15, 2025
GameSquare Holdings reported a strong third quarter with a notable net income of $5.9 million, driven by strategic divestitures and the acquisition of Click Management, positioning the company for long-term growth.
Key takeaways
- Gross margin expanded dramatically to 49.4%, up from 15.3% in the previous quarter, signaling improved profitability.
- Successful divestiture of FaZe Media and winding down of Frankly Media streamlined operations and focused efforts on high-growth opportunities.
- Acquisition of Click Management adds $14.5 million in expected annualized pro forma revenue for the second half of 2025, enhancing the company's talent management capabilities.
- GameSquare expects synergies from the Click Management integration to significantly boost EBITDA contributions going forward.
- Expansion of partnerships with brands like Rollbit and Barnes & Noble College reflects successful positioning within the creator economy and a robust sales pipeline.