Overactive Media (OAM) Q4 2024 earnings summary

Executive summary

• Achieved record Q4 revenue of CAD 9.9 million (up 134% YoY) and full-year revenue of CAD 27 million (up 72% YoY), driven by strategic acquisitions and expanded operations.

• Integrated KOI and Movistar Riders acquisitions, which exceeded expectations for revenue and adjusted EBITDA and were immediately accretive.

• Achieved positive comprehensive income of CAD 311,000 for the year, a turnaround from a CAD 12.2 million loss in 2023, aided by an $11.5 million gain from franchise obligation elimination.

• Expanded global presence with entry into Latin America, China, and Europe, and hosted major live events in Madrid, Toronto, and Canada.

• Secured new and renewed commercial partnerships, including the first LEC naming rights deal, major brands like AMD and Monster Energy, and awarded VALORANT Champions Tour EMEA partnership.

Financial highlights

• Q4 revenue grew 134% year-over-year to CAD 9.9 million; full-year revenue reached CAD 27 million, a 72% increase, with gross profit up 62% to CAD 16.8 million.

• Q4 gross profit was CAD 5.3 million (54% margin), down from 80% margin last year due to integration of lower-margin businesses.

• Adjusted EBITDA loss for Q4 improved 21% year-over-year to CAD 554,000; full-year adjusted EBITDA loss improved 42% to CAD 3.6 million.

• Operating expenses rose 54% in Q4 and 37% for the year, reflecting integration costs and expansion.

• Cash and equivalents at year-end: CAD 6.8 million; net working capital: CAD 6.6 million.

Outlook and guidance

• Focus for 2025 is on scalability through digital and high-margin verticals, responsible growth, margin improvement, and disciplined execution.

• Infrastructure and operational capacity in place to support efficient scaling and margin improvement.

• Positioned for continued expansion in a growing global esports industry.