THE ANGELS, August 15, 2022 /PRNewswire/ — FaZe Holdings Inc . (Nasdaq: FACE) (“FaZe” or the “Company”), the lifestyle and media platform rooted in gaming and youth culture, today announced its financial results for the second quarter ended June 30, 2022 with SEC. Summary financial results are included with this press release.
Latest business aspects
Strong momentum with second quarter sales of 18.8 million dollarsa 22% year-over-year increase and a new quarterly record Listed on Nasdaq under the symbol FAZE through a SPAC arrangement. 57.8 million dollars in net income Designated Zach Katz to the new role of president and chief operating officer. He launched the ghost kitchen brand “FaZe Subs” in partnership with DoorDash. He welcomed new members FaZe Destroying, FaZe Ronaldo, FaZe Proze and FaZe Shanks to FaZe Clan; their combined total social media followers exceed 18 million announced “1ON1” series with the National Football League (“NFL”), with FaZe Destroying bringing their multi-stage competitions to multiple cities during the NFL preseason . Introducing FaZe Clan Buffalo Chicken Pizza Rolls with Totino’s Expanded into gaming products in partnership with Ducky and launched merchandise collaborations with Disney, Naruto Shippuden and Lyrical Lemonade. New partnerships have been announced with GHOST, Current and RESPAWN. The first reality competition of its kind FaZe1 launched with over 750 million impressions across platforms and over 39 million minutes watched by FaZe1: The Warehouse and Road to FaZe1 The FaZe Clan Counter-Strike Team: Global Offensive won the PGL Antwerp Major, IEM Cologne, IEM Katowice and ESL Pro League Season 15, all in the first half of the year, earning millions of dollars in cash and prizes
“With our entry into the public markets now behind us, FaZe is focused on monetizing our four verticals: sponsorships, content, merchandise and esports,” said Lee Trink, CEO of FaZe Clan. “We are building business momentum in the second half of the year and are working to launch new business initiatives, particularly in the creator economy and Web3.”
Financial results of the second quarter
Second quarter revenue was 18.8 million dollarsan increase of 22% compared to the second quarter of the previous year and 19% more than 15.8 million dollars in the first quarter of 2022. The increase in revenue was primarily driven by the effective scale and growth of our business across our various revenue streams, primarily brand and sports sponsorships. FaZe reported an adjusted EBITDA loss of (4.1) million dollars in the second quarter, compared to (6.2) million dollars in the second quarter of last year.1 The adjusted EBITDA loss reflects the company’s investments in management personnel and marketing costs to drive its growth strategy.
Turned on July 19, 2022, FaZe completed its merger with B. Riley Principal Merger Corp. and became a publicly traded company. FaZe received aggregate net income of 57.8 million dollars in the transaction and from that date he had 61 million dollars in cash on your balance sheet. The Company has no long-term debt obligations.
1 Adjusted EBITDA is a non-GAAP financial measure. See “Non-GAAP Reconciliation” for our definition and additional information on adjusted EBITDA and for a reconciliation to net loss, the most directly comparable financial measure to US GAAP.
Information on the spread of earnings
FaZe Holdings Inc will host a webcast and Q&A session today at 2:00 PM Pacific Time to discuss the company’s second quarter financial results. The conference webcast can be accessed as follows:
Event: FaZe Holdings Inc. Q2 2022 Results Conference Call
Date: Monday, August 15, 2022
Time: 2:00 PM Pacific Time (5:00 PM Eastern Time)
Toll Free: 1 (888) 440-6928
Call: 1 (646) 960-0328
Dial Conference ID: 1341513
An archived webcast of the conference call will also be available on FaZe Holdings Inc.’s Investor Relations page. https://investor.fazeclan.com.
About FaZe Holdings Inc:
FaZe Holdings Inc. (Nasdaq: FACE) is a digital native lifestyle and media platform rooted in gaming and youth culture, reimagining traditional entertainment for the next generation. Founded in 2010 by a group of internet kids, FaZe Clan was created by and for Gen Z and Millennials, and today operates across multiple verticals with transformative content, world-class brand partnerships, a remarkable talent pool and fashion and consumers. products With over 500 million followers on social platforms worldwide, FaZe Clan offers a wide variety of entertainment that spans vlogs, lifestyle and branded content, game highlights and live streams of tournaments from highly competitive games. FaZe Clan’s roster of over 85 influential personalities consists of content creators, esports professionals, world-class gamers, and a mix of talent that goes beyond the gaming world, such as NFL star Kyler “FaZe K1” Murray, Lebron “FaZe Bronny” James Jr., Lil Yachty aka “FaZe Boat”, Offset aka “FaZe Offset” and Snoop Dogg aka “FaZe Snoop”. Its gaming division includes 11 competitive sports teams that have won 35 world championships. For more information, visit www.fazeclan.com, investor.fazeclan.com and follow FaZe Clan on Twitter, Instagram, YouTube, TikTok and Twitch. The content of any website referenced or hyperlinked in this communication is not incorporated into or made a part of this communication.
The information in this release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the US Private Securities Litigation Reform Act of 1995. All statements other than statements of current or historical facts included in this communication, about the Company’s strategy, future operations and financial performance, estimated financial position, estimated revenues and losses, projections of market opportunities and market share, expected costs , management’s outlook, plans and objectives are forward-looking statements. These forward-looking statements are generally identified by the words “estimate,” “could,” “forecast,” “future,” “could,” “outlook,” “plan,” “possible,” “potential,” “predict,” . ” “project”, “seem”, “seek”, “endeavor”, “should”, “should”, “could”, “believe”, “try”, “expect”, “intend”, “project” “continue”, “increase” and/or similar expressions relating to strategy, plans or intentions, but the absence of such words does not mean that a statement is not forward-looking. These statements are they are made in accordance with the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and are based on management’s belief or interpretation of currently available information.
These forward-looking statements are based on various assumptions, whether or not identified herein, and management’s current expectations and are not predictions of actual performance. Because forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions, whether or not identified in this communication, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict . Many factors could cause actual results and conditions (financial or otherwise) to differ materially from those indicated in the forward-looking statements. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as a guarantee, warranty, prediction or definitive statement of fact or probability and should not be relied upon by any investor. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the Company’s control. Forward-looking statements speak only as of the date they are made. Although FaZe Clan may choose to update these forward-looking statements at some point in the future, FaZe Clan specifically disclaims any obligation to do so. These forward-looking statements should not be deemed to represent FaZe Clan’s assessments as of any date subsequent to the date of this communication. Accordingly, undue reliance should not be placed on forward-looking statements.
This earnings release includes Adjusted EBITDA, which is a non-GAAP measure we use to supplement our results presented in accordance with US GAAP. Adjusted EBITDA is defined as net loss before stock-based compensation expense, expense from discontinued operations, foreign currency gains and losses, interest expense, provision for income taxes, depreciation and depreciation and impairment of content assets. Adjusted EBITDA is used by FaZe’s board and management as a key factor in determining the quality of our earnings (losses).
Adjusted EBITDA is a performance measure that we believe is useful to investors and analysts because it illustrates the underlying business and financial trends related to our core recurring operating results and improves comparability between periods.
Adjusted EBITDA is not a recognized measure under US GAAP and is not intended to be a substitute for any US GAAP financial measure and, as calculated, may not be comparable to other similarly titled performance measures of other companies in other industries or within the same. industry Investors should be cautious when comparing our non-GAAP measure to any similarly titled measure used by other companies. This non-GAAP measure excludes certain items required by US GAAP and should not be considered as alternatives to information reported in accordance with US GAAP.
The following table presents our Adjusted EBITDA, reconciled to our net loss, the most directly comparable US GAAP financial measure, for the periods indicated.
Although not included in the above adjustments, management also eliminates certain expenses for internal reporting as they are unpredictable and not considered critical to our operations. These expense adjustments used for internal reporting include expenses related to legal settlements, legal fees outside the normal course of business and severance pay. For the past three months June 30, 2022and 2021, the legal agreements totaled 0 million dollars i 0 million dollarslegal fees outside the ordinary course of business totaled 0 million dollars i 0.7 million dollarsand total severance costs 0 million dollars i 0.1 million dollarsrespectively.
SOURCE FaZe Clan