Allied Gaming & Entertainment (AGAE) investor relations material

Executive summary

• Q2 2025 revenues declined 27% year-over-year to $1.9M, mainly due to a $1.0M drop in mobile gaming, partially offset by a 27% rise in in-person revenues to $1.2M from more and higher-value arena events.

• Net loss widened to $4.8M for Q2 2025 from $3.9M in Q2 2024, and to $9.7M for the six months ended June 30, 2025, compared to $5.7M in the prior year period.

• Legal and professional fees increased due to shareholder litigation and proxy contests, partially offset by insurance reimbursements.

• CEO transition in June 2025: Yangyang (James) Li appointed as CEO and Chairman, with Yinghua Chen moving to a strategic subsidiary role.

• Hosted 75 events in Q2, including major third-party and proprietary events, supporting brand engagement.

Financial highlights

• Q2 2025 total revenue was $1.9M, down from $2.6M in Q2 2024; six-month revenue was $4.2M, down from $5.0M year-over-year.

• Net loss per share was $(0.12) for Q2 2025 and $(0.23) for the six months, compared to $(0.09) and $(0.13) in the prior year periods.

• Cash and short-term investments stood at $60.0M as of June 30, 2025, down from $71.5M at year-end 2024; working capital was $44.9M.

• Total costs and expenses rose slightly to $8.0M from $7.9M year-over-year, with increased legal/professional fees offsetting lower mobile gaming expenses.

• Interest income remained strong at $1.0M for Q2 and $1.9M for the six months, flat year-over-year.

Outlook and guidance

• Management expects continued investment in marketing, new geographies, and verticals, with operating expenses likely to rise.

• Strategic investments, such as in Angry Birds 3, are expected to positively impact future performance.

• The company is assessing the impact of recent U.S. tax law changes and Nasdaq compliance issues on future results.

• Forward-looking statements highlight potential growth opportunities but caution about risks and uncertainties.