float investing

Leaf Mobile Intention To Float

NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION, DIRECTLY OR INDIRECTLY, IN OR TO THE UNITED STATES, AUSTRALIA, THE REPUBLIC OF SOUTH AFRICA, JAPAN OR ANY MEMBER STATE OF THE EUROPEAN ECONOMIC AREA ("EEA") (OTHER THAN ANY MEMBER STATE OF THE EEA WHERE SECURITIES MAY BE LAWFULLY MARKETED) OR ANY OTHER JURISDICTION WHERE IT IS UNLAWFUL TO DISTRIBUTE THIS ANNOUNCEMENT. THE INFORMATION CONTAINED HEREIN DOES NOT CONSTITUTE OR FORM PART OF ANY OFFER TO ISSUE OR SELL, OR ANY SOLICITATION OF ANY OFFER TO SUBSCRIBE OR PURCHASE, ANY INVESTMENTS IN ANY JURISDICTION.

LEAF Mobile Inc

This announcement is an advertisement for the purposes of the Prospectus Regulation Rules of the Financial Conduct Authority ("FCA") and not a prospectus and not an offer to sell, or a solicitation of an offer to subscribe for or to acquire securities. Neither this announcement nor anything contained herein shall form the basis of, or be relied upon in connection with, any offer or commitment whatsoever in any jurisdiction. Investors should not purchase or subscribe for any transferable securities referred to in this announcement except on the basis of information contained in the prospectus (the "Prospectus") in its final form expected to be published by Leaf Mobile Inc. in due course in connection with the proposed admission of its ordinary shares to the standard listing segment of the Official List maintained by the FCA and to trading on the London Stock Exchange plc's Main Market for listed securities. Copies of the Prospectus will, following publication, be available for inspection from https://leafmobile.io/

Leaf Mobile Inc.

Intention to Float on the Main Market of the London Stock Exchange

("LEAF Mobile" or "the Company")

Leaf Mobile Inc. (TSX:LEAF)(OTCQB:LEMLF), a leading Canadian free-to-play mobile game group, is pleased to announce its intention to join the Main Market of the London Stock Exchange ("LSE") this winter.

The Company, which started trading its common shares on the Toronto Stock Exchange ("TSX") on February 10th, 2021, will assume a dual-listed structure. The Company's common shares will continue to be listed and trade on the TSX in Canada under the symbol "LEAF", as well as trade on the OTC Markets Group's OTCQB Marketplace in the United States under the symbol "LEMLF".

The Company intends to raise gross proceeds of approximately CAD$10 million and the flotation is expected to value LEAF Mobile at approximately £130m.

This secondary London listing is part of LEAF's growth strategy and brings Canada's largest free-to-play mobile game group to the LSE. The net proceeds of the capital raising will be used to further scale the business.

LEAF is operating within a fast-growing sector with a rapidly increasing total addressable market. Mobile Games are the world's most popular form of gaming. Mobile games are expected to reach 2.6 billion players and generate revenues of USD$90 billion in 2021, representing more than half of the global games market in terms of revenue, according to Newzoo data. Games are also the most dominant category within the mobile applications ecosystem with gaming accounting for more revenue on iOS than every other category combined. Games accounted for 66% of all ‌App Store‌ revenue in 2020, according to Sensor Tower data which also found that approximately USD$47.6 billion was spent on iOS games in 2020, up 25% from 2019.

Darcy Taylor, Founder and CEO of LEAF Mobile, said: "The mobile games market will gain increasing popularity in the next ten years, with free-to-play games acting as the industry's foremost segment. London is a global hub for video gaming, creative industries and technological innovation and a London Stock Exchange listing will help LEAF Mobile to position itself at the forefront of the sector's growth. Moreover, the dual listing will provide us with a springboard to achieve our ambitious growth objectives in Europe and enhance our access to London's deep and advanced capital markets."

Reasons for LSE listing

LEAF considers that admission to trading on the Main Market of the LSE will:

  • Allow the Company to access a wider range of potential investors and broaden its investor base;
  • Enable the Company to reach institutional investors in the U.K. and Europe;
  • Increase share trading liquidity;
  • Assist the Company in establishing a European base of operations in London as it expands through M&A activities and the hiring of additional staff; and
  • Boost the profile of the Company as the U.K. capital markets are recognised by both U.K. and international gaming companies and the U.K. enjoys a sophisticated investor base familiar with the sector.

Company highlights

LEAF was incorporated in 2018 with the objective to lead the free-to-play mobile game space through a distributed development & publishing studio structure and proprietary Game Kit software that can change the framework of mobile game companies. LEAF is the parent company of a group comprising operating subsidiaries LDRLY, a developer and publisher of 'casual or idle mobile games'* for mobile that was acquired on April 17th 2020, and East Side Games ("ESG"), a mobile game developer and publisher specialising in free-to-play casual mobile games that was acquired on 5 February 2021.

The Company is a developer and publisher of casual mobile games that are suitable for play on a wide range of devices, including mobile phones and tablets. The Company's revenues are primarily generated through in-app purchases or in-game advertising sold to third parties. Additionally, the Company derives income from the licensing of proprietary software technology "Game Kit" to third party developers. The Company pursues a growth strategy based on broadening the game portfolio, growing the audience, increasing revenue from proprietary technology and acquiring accretive M&A targets.

LEAF Mobile revenue year to date as of Sept 30, 2021's as reported was CAD$64.6 million, a 32.1% rise compared to the same period last year.

The Company is best known for famous franchise game titles and currently publishes and operates an 11-game portfolio. Among these, some of ESG's successful franchise titles include Trailer Park Boys: Grea$y Money, currently streaming on Netflix; RuPaul's Drag Race Superstar, based on the award-winning reality TV show; Archer: Danger Phone; and It's Always Sunny: The Gang Goes Mobile.

RuPaul's Drag Race Superstar is the newest addition to the ESG stable of games. Following its worldwide launch last month, the game has been downloaded over one million times and has averaged over 150,000 Daily Active Users. The game has also ranked in the top 100 grossing iOS games in 40 countries according to AppAnnie data, which also found that the game reached the #1 ranked role playing iOS game in 44 countries.

Similarly, LDRLY's leading counterculture game portfolio includes hit titles such as Cheech and Chong Bud Farm and Bud Farm - Idle Tycoon which are part of the popular mobile game franchise, Bud Farm, that has been played by over 40 million people around the world since launch. LEAF's upcoming pipeline includes The Office: Somehow We Manage, inspired by the U.S. version of NBC's The Office.

The Company is pleased to provide retail investors the opportunity to participate in the raise exclusively through the PrimaryBid mobile app available on the Apple App Store and Google Play. PrimaryBid does not charge investors any commission for this service.

Tennyson Securities is acting as Bookrunner and Corporate Broker for the Company.

For further information please contact:

Leaf Mobile Inc.

Darcy Taylor,

Chief Executive

via Tancredi +44 207 887 7633

Tennyson Securities

Corporate Broker

Peter Krens

+44 7960 934 405

PrimaryBid

Retail Broker

James Deal / Fahim Chowdhury

enquiries@primarybid.com

Tancredi Intelligent Communication

Media Relations

Salamander Davoudi

Helen Humphrey

Benedetta Negri da Oleggio

Fabio Galloni Roversi Monaco

leafmobile@tancredigroup.com

+44 7957 549 906

+44 7449 226 720

+44 7838 029 970

Notes to Editors

Sector Overview

Casual and idle games* are a segment within the mobile games market typified by evolving narratives and strategies, easy to learn gameplay, and games that can be played in a few minutes or run by themselves for long periods of time. They are targeted at a mass market audience and are typically suitable for play on a wide range of devices, including mobile phones and tablets. A casual or idle game is one by which step-by-step progression is a prominent feature of the gameplay.

The mobile games market is expected to grow by 4% year-on-year in 2021 and will continue to grow faster than the total games market up to 2023, according to Newzoo.

In-game advertising provides an additional growth tenet. As mobile games become increasingly popular, advertisers have become more interested in utilising the medium to reach consumers. Based on data from App Annie, 74% of advertising on mobile apps is delivered through games, which the Company believes reflects the realisation by advertisers that gamers no longer skew younger and can be a method of reaching a wide variety of demographics. According to TechCrunch3, the average age of a gamer in 2019 was 36.3 versus 27.7 in 2014, and the gender mix is now 51% female.

Game Kit

The Company's key proprietary technology is owned and developed by ESG. ESG's core software technology, known as "Game Kit", is an internally developed proprietary game framework for reducing the development time to market for mobile games, thereby reducing cost and de-risking by increasing each game's likelihood of success with its proven monetisation framework. The average time to build and launch a mobile game is twelve to eighteen months. With Game Kit's Idle genre framework, development teams can cut production time decreasing the cost and time-to-market. LEAF also licences Game Kit-Idle to third party developers via a SaaS business and revenue share model. The Company pursues revenue diversification from developers using the Game Kit-Idle platform, allowing the Company to lower risk but maintain upside. LEAF has also developed other kits, such as Game Kit-NFT, which allows for NFTs in mobile games.

Leadership

The Company benefits from an experienced team with a proven track record in IP management and marketing, game development and publishing, including over 60 years of combined experience on mobile games with: Hothead Games, Magellan Interactive, ESG, Nexon and over 50 years of combined experience in IP management & marketing with: CAA, Creative Labs, IMG (Now Endeavor), 20th Century Fox. The Board currently comprises five Directors, who collectively have extensive experience in investment, corporate finance and business acquisition, operation and development in the casual gaming sector and are well placed to implement the Company's strategy.

Senior Management

Darcy Taylor, Chief Executive Officer

Darcy has over 20 years of senior experience building companies and brands in Asia, Europe and North America. He has a proven track record in C-suite and senior leadership roles at IMG Canada (now Endeavor LLC), Logic Technologies Inc, JT International S.A. and MASEV Communications Inc. His experience spans corporate, agency, and entrepreneurial environments. Currently Darcy is a non-executive director of Cellular Goods plc, a publicly listed company on the Main Market of the London Stock Exchange (LSE: CBX).

Jim MacCallum, CFO

Mr. MacCallum has over 20 years of international financial and operational executive experience with multinational public companies and "Big 4" accounting firms. He has extensive capital markets, acquisitions, and financial reporting experience, and has worked in Canada, the US and Europe. For the past six years, Mr. MacCallum has served in various finance roles, most recently as SVP, Finance and Treasurer, and previous CFO, at Westport Fuel Systems (NASDAQ: WPRT, TSX: WPRT). Prior to Westport, he was Vice President, Finance at Absolute Software (TSX: ABST) and served in several increasingly senior financial roles at Cisco Systems, Inc. Mr. MacCallum is a Chartered Professional Accountant (CPA, CA) in addition to being a Chartered Financial Analyst (CFA) and holds a B.A. Economics degree from the University of British Columbia and a graduate of the Advanced Management Program at Harvard Business School.

Josh Nilson, Studio Head, East Side Games

With over 20 years in games and tech, the East Side Games (ESG) co-founder and ex-CEO is continuing to drive the business and culture at ESG. Under his leadership, ESG's awards in 2020 included Pocket Gamers Top 50 Mobile Game Makers, Globe and Mail Top 400 Canada's Top Growing Companies, the winner in the first ever BC Business "Business of Good Awards" in the Indigenous Prosperity category.

Board of Directors

Michael Scott ("Mike") Edwards, Chairperson, Corporate Secretary and Director

Mr. Edwards has a wealth of experience in building and scaling consumer technology companies in private and public markets, including as an investor in Punch'd (acquired by Google), Wander (later acquired by Yahoo), Summify (acquired by Twitter), BlueBat Games (acquired by Novomatic Group, Retsly (acquired by Zillow) and Password Box (acquired by Intel). He co-founded LX Ventures, a publicly listed consumer internet foundry that acquired and scaled Mobio Technologies. Mr. Edwards co-founded Wyley Interactive, a mobile game engagement platform, which was acquired by Zynga, and he co-founded Creative Labs, a venture capital backed startup foundry that builds consumer technology companies by leveraging the Creative Artist Agency's access to talent and audience.

Gilbert Jason Walter ("Jason") Bailey, Chief Revenue Officer and Director

Mr. Bailey is a founder of ESG. He is considered one of Canada's most experienced gaming entrepreneurs. Prior to ESG, Mr. Bailey was a founder of Super Rewards, which he sold in 2009. Super Rewards was a social game monetisation platform which helped pioneer the free to play game model that is ubiquitous today. Over the last twenty years, he has been mentor to and investor in a variety of Canadian startups and technology companies.

Jonathan Franklin Bixby, Director

Mr. Bixby is a seasoned technology entrepreneur in both the private and public sector. He is the co-founder of a number of significant companies including Koho Financial, Canada's largest challenger bank, Guild Esports PLC (a listed Esports company on the LSE with David Beckham) and Blue Mesa Health (acquired by the Virgin Pulse). Mr. Bixby is a board member of CTO.AI and a former Chairman of the Board of Argo Blockchain PLC (LSE Listed) and Darkvision Technologies (acquired by Koch Industries). He is a strategic adviser to Fastly (NASDAQ).

Franklin Derek ("Derek") Lew, Director

Mr. Lew is the President, Chief Executive Officer and a director of GrowthWorks Capital Ltd. ("GWC"), and the President and Chief Executive Officer and/or a director of certain managed funds and operating subsidiaries of GWC, all of which are active venture capital investors. Mr. Lew is also a Partner with Initio Group Inc. ("Initio"), a Vancouver-based early-stage angel investment firm, and is a lawyer with experience in the areas of corporate, commercial and real estate law. As CEO of GWC, and at Initio, Mr Lew is involved in overseeing these firms' venture capital and angel investments, respectively. Mr. Lew was Chair of the British Columbia Innovation Council (now "Innovate BC") (2013 - 2018), the Crown agency of the Province of British Columbia responsible for the advancement of innovative businesses and entrepreneurs in the province. Active in his community, Mr. Lew is a director of the Frank and Joan Lew Charitable Trust and the FJL Housing Society, which focuses on matters related to social housing in Vancouver's Downtown Eastside. Mr. Lew holds a Bachelor of Arts from the University of British Columbia and a Bachelor of Laws from the University of Alberta and is a member of the Law Society of British Columbia.

Birgit Troy, Director

Ms. Troy currently serves as the COO / CFO of Canalyst. Prior to joining Canalyst, Ms. Troy was a Portfolio CFO at Volaris Group, the largest operating group under Constellation Software ("CSU"), one of Canada's leading technology companies. Over the last 5 years, she has led M&A efforts to acquire and integrate 15 operating companies into Constellation Software. Prior to Volaris, Ms. Troy was the CFO of Incognito Software Systems (acquired by Volaris) and VP Finance of TSO Logic (acquired by Amazon) and Strangeloop Networks (acquired by Radware).

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

SOURCE: Leaf Mobile Inc.



View source version on accesswire.com:
https://www.accesswire.com/673525/Leaf-Mobile-Intention-To-Float

News Provided by ACCESSWIRE via QuoteMedia

The Conversation (0)
NorthStar Gaming Announces Revocation of Management Cease Trade Order

NorthStar Gaming Announces Revocation of Management Cease Trade Order

NorthStar Gaming Holdings Inc. (TSXV: BET) (OTCQB: NSBBF) ("NorthStar" or the "Company") is pleased to announce that effective May 16, 2025, the Ontario Securities Commission has revoked the temporary management cease trade order ("MCTO") it had previously granted to the Company on May 8, 2025 under National Policy 12-203 Management Cease Trade Orders, as the Company successfully completed the filing of its annual audited financial statements, management's discussion and analysis, and related certifications for the year ended December 31, 2024 (collectively, the "Annual Filings") on May 14, 2025.

The revocation of the MCTO means members of management are no longer prevented from trading the Company's securities. All of the Annual Filings are available under the Company's profile on SEDAR+ at www.sedarplus.ca.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
NorthStar Gaming Reports Year-End 2024 Results

NorthStar Gaming Reports Year-End 2024 Results

Annual Revenue Growth of 57%, Gross Margin up 91%

NorthStar Gaming Holdings Inc. (TSXV: BET) (OTCQB: NSBBF) ("NorthStar" or the "Company") today announced its financial results for the three months and year ended December 31, 2024. The Company also announced that it will discuss the results on an investor webinar to be held Thursday, May 15, 2025 at 11:00am (please see below for details). All dollar figures are quoted in Canadian dollars.

"We delivered strong financial results in 2024, highlighted by 57% growth in revenue and a 91% increase in gross margin. At the same time, we held marketing expense to a 10% increase and reduced G&A expense, demonstrating the continually improving operating leverage built into our business model," said Michael Moskowitz, Chair and CEO of NorthStar. "Equally important, our team rolled out innovations in both our sportsbook and casino that have further differentiated NorthStar Bets as a premium offering and helped drive the retention of, and engagement with, our loyal customers."

Restatement of Results

The comparative results for the three months and twelve months ended December 31, 2023 have been restated in the financial statements and management's discussion & analysis ("FY2024 MD&A") for the year ended December 31, 2024 to include additional merchant fees and player bonus expenses which were not captured in the previously published financial statements (note 2 of the Financial Statements for the year ended December 31, 2024). The Company's payment processor deducted the additional merchant fee from the daily remittances to the Company, and the deductions were not accounted for by the Company. These additional fees were identified as part of the year-end reconciliation of the amount due from the payment processor, and the financial statements and FY2024 MD&A have been adjusted accordingly. These restatements did not impact the cash balances reported for the years ended December 31, 2022, 2023, or 2024. However, they did result in adjustments to the reported current asset balances for those periods.

Financial Highlights for the Fourth Quarter Ended December 31, 2024 ("Q4 2024"):

  • Total Wagers1 at Northstarbets.ca were $303.0 million in Q4 2024, a 42% increase compared to $213.3 million in Q4 2023.
  • Gross Gaming Revenue2 at Northstarbets.ca was $10.0 million in Q4 2024, a 31.6% increase from $7.6 million in Q4 2023.
  • Revenue2 was $9.5 million in Q4 2024, a 51% increase from $6.3 million in Q4 2023. Revenue in Q4 2024 includes $1.5 million of managed services revenue, which compares to $0.2 million in Q4 2023.
  • Gross Margin was $3.6 million, a 71% increase from $2.1 million in Q4 2023, while the Gross Margin percentage increased to 38.1%, up from 33.6% in Q4 2023.
  • Profit/(loss) before marketing and other expenses1 was $0.6 million in Q4 2024 compared to a loss of $2.5 million in Q4 2023, indicating that gross margin is now sufficient to cover the Company's overhead expenses.

Financial Highlights for the Year Ended December 31, 2024 ("FY 2024"):

  • Total Wagers2 at Northstarbets.ca were $980.0 million in FY 2024, a 51% increase compared to $648.8 million in the year ended December 31, 2023.
  • Gross Gaming Revenue2 at Northstarbets.ca was $34.0 million in FY 2024, a 51% increase from $22.5 million in FY 2023.
  • Revenue2 was $29.6 million in FY 2024, a 57% increase from $18.8 million in FY 2023. Revenue in FY 2024 includes $2.3 million of managed services revenue, which compares to $0.5 million in FY 2023.3
  • Gross Margin was $10.5 million, marking a 91% increase from $5.5 million in FY 2023, with the Gross Margin increasing to 35.7%, up from 29.3% in FY 2023.
  • Profit/(loss) before marketing and other expenses1 was $0.1 million in FY 2024 compared to a loss of $6.7 million in YTD 2023, an improvement of $6.8 million.

"Early in 2025, we completed our most significant fund-raising to date, with a $43.4 million debt financing. This capital gives us a long runway on which to continue our trajectory of growth in wagering, gross margins and improving operating leverage. This was a milestone event for our business," added Mr. Moskowitz.

2024 Operating Highlights:

  • Completed the inaugural Blackjack Championship tournament, an innovative online competition that helped drive the acquisition of new high-value players and engagement for existing customers while increasing Blackjack wagering activity.
  • Implemented a series of enhancements to the NorthStar Bets platform, highlighted by streamlined navigation in both the Casino and Sportsbook sections, a doubling of Casino game selection since the start of 2024, personalized prop bets and intelligent parlay suggestions.
  • Introduced the "NorthStar Elite" program and branded tables to help secure the loyalty and satisfaction of our most active players and reinforcing the Company's positioning as a premium offering.
  • Launched "Sports Insights 2.0," a robust suite of enhancements to our content vertical that includes a redesigned home page, comprehensive team and player statistics, injury and player news feeds, added coverage of popular sports and strengthened casino content.
  • Gained significant traction outside the Ontario market with managed services revenue from Northstarbets.com site, owned by the Abenaki Council of Wolinak, increasing from $0.5 million in FY 2023 to $2.3 million in FY 2024.
  • Outpaced the industry growth rates reported by iGaming Ontario in 2024 in both Total Wagers (51% for NorthStar vs. 33% for the industry) and Gross Gaming Revenue (51% for NorthStar vs. 31.5% for the industry).

Outlook

"We expect our consistent pattern of year-over-year revenue increases to continue throughout 2025, based on our ongoing success in attracting and engaging high-value players," said Mr. Moskowitz. "We will maintain disciplined control over costs so that incremental gross margin falls primarily to the bottom line. As we continue to focus on operational excellence, we remain confident that we have the capital necessary to reach profitability based on our current business platform."

FY 2024 Corporate Update Webinar

On May 15, 2025, Michael Moskowitz will present an in-depth Corporate Update, including a discussion of the Company's FY 2024 Earnings, current operations and strategic priorities. All investors and other interested parties are invited to register for the webinar at the link below.

Date: Thursday, May 15, 2025
Time: 11:00 am EDT
Register: Webinar Registration

Management will be available to answer your questions following the presentation on the webinar platform. You may also submit your question(s) beforehand in the registration form linked above.

Extension of Strategic Marketing Agreement

The Company also announced that its wholly owned subsidiary, NorthStar Gaming (Ontario) Inc. ("NorthStar Ontario"), has extended its strategic partnership with Playtech Software Limited ("Playtech Software") through the renewal of their previously announced strategic marketing agreement. Under the agreement, Playtech Software contributes services designed to accelerate NorthStar Ontario's player acquisition strategy in the province. The agreement was first implemented in June 2023 and has since been renewed several times. Pursuant to the latest renewal, Playtech Software will reimburse marketing expenses valued at a total of up to $1.5 million over a 3-month period through to March 31, 2025. Playtech Software will be compensated through a share of revenue from the income generated in connection with the marketing initiatives to which it contributes. The Transaction between Playtech and NorthStar Ontario is exempted from Multilateral Instrument 61-101 Protection of Minority Securityholders in Special Transactions.

"We are very pleased to renew the marketing services agreement with Playtech Software," said Michael Moskowitz, Chair and CEO of NorthStar. "The agreement serves to extend our marketing budget and has contributed to our tremendous growth in Ontario. Playtech plc continues to be a valuable strategic partner and we look forward to further collaboration."

Continuous Disclosure

Further to a review by the staff of the Ontario Securities Commission (the "OSC") of the Company's continuous disclosure, the FY2024 MD&A includes enhanced disclosures with respect to:

  • the Company's regulatory framework, licensing regimes applicable to its business operations and the legal authorizations necessary to conduct its business operations;
  • specific risk factors relating to the Company's business operations which include risks relating to operating in a heavily regulated industry, cyber security risks and risks relating to conflicts of interest with respect to directors and officers of the Company; and
  • the relationship between the Abenaki Council of Wolinak and the Company as well as its subsidiary, Slapshot Media Inc.

Such amended disclosure is being included in the FY2024 MD&A to address comments received from the OSC on its management's discussion & analysis, for the period ended September 30, 2024, and to improve the Company's disclosure.

As a result of having to include such enhanced disclosure after the OSC review, the Company will be placed on the public list of Refilings and Errors in accordance with OSC Staff Notice 51-711 (Revised) - Refilings and Corrections of Errors for a period of three (3) years.

Additional Information

For additional information, please refer to the Company's condensed consolidated financial statements for the year ended December 31, 2024, and the corresponding FY2024 MD&A. These documents are available on SEDAR+ at www.sedarplus.ca, and on the Company's corporate website at www.northstargaming.ca.

About NorthStar

NorthStar proudly owns and operates NorthStar Bets, a Canadian-born casino and sportsbook platform that delivers a premium, distinctly local gaming experience. Designed with high-stakes players in mind, NorthStar Bets Casino offers a curated selection of the most popular games, ensuring an elevated user experience. Our sportsbook stands out with its exclusive Sports Insights feature, seamlessly integrating betting guidance, stats, and scores, all tailored to meet the expectations of a premium audience.

As a Canadian company, NorthStar is uniquely positioned to cater to customers who seek a high-quality product and an exceptional level of personalized service, setting a new standard in the industry. NorthStar is committed to operating at the highest level of responsible gaming standards.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. Neither the TSX Venture Exchange ("TSXV") nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this press release.

Non-IFRS Financial Measures [/ Reconciliation of Non-IFRS Measures to IFRS Measures]

Throughout this document, management uses certain non-IFRS financial measures and supplementary financial measures to evaluate the performance of the Company. The terms "Gross Gaming Revenue" "Total Wagers" and "Profit/(Loss) before marketing and other expenses" are non-IFRS financial measures. These measures are not recognized measures under International Financial Reporting Standards ("IFRS") and do not have a standardized meaning prescribed by IFRS and are, therefore, not necessarily comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of our results of operations from management's perspective and to discuss NorthStar's financial outlook. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of the Company's financial information reported under IFRS. We believe that securities analysts, investors and other interested parties frequently use non-IFRS measures, including industry metrics, in the evaluation of companies in our industry. Management also uses non-IFRS measures and industry metrics in order to facilitate operating performance comparisons from period to period, the preparation of annual operating budgets and forecasts and to determine components of executive compensation.

Total Wagers

Total Wagers are calculated as the total amount of money bet by customers in respect of bets that have settled in the applicable period. Total Wagers does not include free bets or other promotional incentives, nor money bet by customers in respect of bets that are open at period end. Total Wagers is used to provide investors with supplemental measures of our operating performance and thus highlight trends in our business that may not otherwise be apparent when relying solely on IFRS measures.

Gross Gaming Revenue

Gross Gaming Revenue is calculated as dollar amounts bet by customers less the dollar amounts paid out to the customers in respect of such bets which have settled in the applicable period.

Reconciliation of Non-IFRS Measures to IFRS Measures

In Q4 2024, the Company reported $10.0 million of Gross Gaming Revenue ($34.0 million in FY 2024) and has provided a reconciliation to the most comparable IFRS financial measure (Revenue) as follows:
$ Millions (unaudited)
Unaudited Three
months ended
Year ended
Dec 31,
2024
Dec 31,
2023
Dec 31,
2024
Dec 31,
2023
Gross gaming revenue from wagered games$10.0$ 7.6$ 34.0$22.5
Bonuses, promotional costs and free bets(2.0)(1.5)(6.7)(4.2)
Sub-total Gaming revenue8.06.127.318.3
Other revenue from managed services1.50.22.30.5
Revenue$ 9.5$ 6.3$ 29.6$ 18.8

 

Operating Results

Marketing expenses are a key driver of the business but are completely discretionary. Management considers "Profit/(Loss) before marketing and other expenses" to be a good indication of the extent to which the business' Gross Margin is in excess of its overhead costs, and therefore offsetting some portion of marketing expenses, reflecting improving economies of scale.

$ Millions (unaudited)Unaudited Three 
months ended
Year ended
Dec 31,
2024
Dec 31,
2023
Dec 31,
2024
Dec 31,
2023
Revenue$ 9,478$ 6,275$ 29,556$ 18,845
Cost of Revenues5,8684,16719,01313,317
Gross Margin3,6102,10810,5435,528
General and administrative expenses3,0334,45210,45312,277
Profit/(Loss) before marketing and other expenses (1)577(2,344)90(6,749)
Marketing5,2495,47215,45614,094
Loss before other expenses (1)(4,672)(7,816)(15,366)(20,843)
Other expenses(1,070)1493,6456,547
Net loss$ (3,602)$ (7,965)$ (19,011)$ (27,390)

 

(1) These measures are not defined by IFRS, do not have standard meanings and may not be comparable with other industries or companies.

Cautionary Note Regarding Forward-Looking Information and Statements

This communication contains "forward-looking information" within the meaning of applicable securities laws in Canada ("forward-looking statements"), including without limitation, statements with respect to the following: expected performance of the Company's business, the Company's growth plans being fully funded, expansion into new markets and future growth opportunities, and expected benefits of transactions. The foregoing are provided for the purpose of presenting information about management's current expectations and plans relating to the future and allowing investors and others to get a better understanding of the Company's anticipated financial position, results of operations, and operating environment. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "continues", "forecasts", "projects", "predicts", "intends", "anticipates" or "believes", or variations of, or the negatives of, such words and phrases, or state that certain actions, events or results "may", "could", "would", "should", "might" or "will" be taken, occur or be achieved. This information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. This forward-looking information is based on management's opinions, estimates and assumptions that, while considered by NorthStar to be appropriate and reasonable as of the date of this press release, are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, levels of activity, performance, or achievements to be materially different from those expressed or implied by such forward-looking information. Such factors include, among others, the following: risks related to the Company's business and financial position; risks associated with general economic conditions; adverse industry risks; future legislative and regulatory developments; the ability of the Company to implement its business strategies; and those factors discussed in greater detail under the "Risk Factors" section of the Company's most recent annual information form, which is available under NorthStar's profile on SEDAR+ at www.sedarplus.ca. Many of these risks are beyond the Company's control.

If any of these risks or uncertainties materialize, or if the opinions, estimates or assumptions underlying the forward-looking information prove incorrect, actual results or future events might vary materially from those anticipated in the forward-looking statements. Although the Company has attempted to identify important risk factors that could cause actual results to differ materially from those contained in the forward-looking statements, there may be other risk factors not presently known to the Company or that the Company presently believes are not material that could also cause actual results or future events to differ materially from those expressed in such forward-looking statements. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. No forward-looking statement is a guarantee of future results. Accordingly, you should not place undue reliance on forward-looking information, which speaks only as of the date made. The forward-looking information contained in this press release represents NorthStar's expectations as of the date specified herein, and are subject to change after such date. However, the Company disclaims any intention or obligation or undertaking to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required under applicable securities laws.

All of the forward-looking information contained in this press release is expressly qualified by the foregoing cautionary statements.

For further information:

Company Contact:

Corey Goodman
Chief Development Officer 647-530-2387
investorrelations@northstargaming.ca

Investor Relations:
RB Milestone Group LLC (RBMG)
Northstar@rbmilestone.com

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
NorthStar Gaming Announces Receipt of Management Cease Trade Order

NorthStar Gaming Announces Receipt of Management Cease Trade Order

NorthStar Gaming Holdings Inc. (TSXV: BET) (OTCQB: NSBBF) ("NorthStar" or the "Company") today announces that its principal regulator, the Ontario Securities Commission, has granted its request for a management cease trade order ("MCTO") effective May 8, 2025.

As previously announced on April 29, 2025, the Company applied for the MCTO due to a delay in filing its annual audited financial statements, management's discussion and analysis and related certifications for the financial year ended December 31, 2024 (the "Annual Filings") which were required to be filed by April 30, 2025.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
NorthStar Gaming Announces Delay of Annual Filings

NorthStar Gaming Announces Delay of Annual Filings

NorthStar Gaming Holdings Inc. (TSXV: BET) (OTCQB: NSBBF) ("NorthStar" or the "Company") today announces an anticipated delay in the filing of its annual audited financial statements, management's discussion and analysis and related certifications for the financial year ended December 31, 2024 (collectively, the "Annual Filings"). The Company does not expect to file its Annual Filings by the regular filing deadline of April 30, 2025, as required, due to an unanticipated delay relating to the audit of the Annual Filings. The Company is working diligently with its auditor to finalize the Annual Filings and expects to file the Annual Filings no later than May 15, 2025.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less
NorthStar Gaming Changes Date of Q4 and Year-End 2024 Earnings Webinar to May 1st

NorthStar Gaming Changes Date of Q4 and Year-End 2024 Earnings Webinar to May 1st

NorthStar Gaming Holdings Inc. (TSXV: BET) (OTCQB: NSBBF) ("NorthStar" or the "Company") has announced a change of date for its upcoming Q4 and Year-End 2024 Earnings Webinar to May 1, 2025 at 11:00 am EDT. Further, the Company now expects to announce its fourth quarter and year-end 2024 financial results and file its condensed consolidated financial statements for the year ended December 31, 2024 ("FY2024 Financial Statements") and associated management's discussion and analysis as soon as possible, but no later than April 30, 2025, as permitted under applicable securities laws. The webinar is being delayed because the Company requires additional time to finalize its FY2024 Financial Statements and complete its year-end audit process.

News Provided by Newsfile via QuoteMedia

Keep reading...Show less

Latest Press Releases

Related News

×