GameSquare Holdings Inc. (NASDAQ:GAME) Stock Jumps 36% After Impressive Q3 Earnings
Following the remarkable 36% rally in GameSquare Holdings Inc. (NASDAQ:GAME) yesterday, the stock could be the one to watch out for this morning. Let’s take a closer look at yesterday’s happenings that led to the gains.
Strong preliminary financial results
On Thursday, the company announced its preliminary financial results for the third fiscal quarter that ended on September 30, 2024. GameSquare Holdings announced that, as per its estimates, the gross margin in the quarter was going to be around 18% as opposed to 14.8% in the previous quarter. The preliminary estimated revenues for the third quarter stood at $26.5 million.
As a consequence, the company also raised its projected yearly revenues to $110 million from $105 million. The company also revealed that the expected EBITDA losses for the period were going to be $2.4 million, which would represent an improvement of $3 million from the previous quarter.
Further Details
The company revealed that 2024 had proven to be a year of transformation for GameSquare Holdings since the company finally started to see the fruits of its strategies for sales growth.
The number of customers on a retainer basis went up over the previous 9 months, and the average contract value also grew 46% in the same period. The developments led to the strong performance in the third fiscal quarter.
CEO Quote
Justin Kenna, CEO of GameSquare, stated, “2024 is shaping up to be a transformative year for GameSquare, as we benefit from the strategies underway to drive organic sales growth, complete the integration of our recent acquisitions, and build a profitable organization. Our performance during the third quarter of 2024 demonstrates the progress we are making and the positive momentum underway as we execute against these initiatives.”
Technicals
| +/- EMA(20) | 0.78 (+11.54%) |
| +/- SMA(50) | 0.91 (-4.40%) |
| +/- SMA(200) | 1.28 (-32.03%) |
| 5-Day Perf. | +29.85% |
| 1-Month Perf. | -4.97% |
| 3-Month Perf. | -17.14% |
| 6-Month Perf. | -42.38% |
| YTD Perf. | -51.93% |
| 1-Year Perf. | -51.67% |
| RSI(14) | 55.98 |
| ATR(14) | 0.09 |
| ADX(14) | 30.36 |
| Beta (5Y) | 1.17 |
