VANCOUVER, BC, June 29, 2023 – ESE Entertainment Inc. (“ESE” or the “Company”) (TSXV: ESE) (OTCQX: ENTEF), a gaming and esports company that provides a range of services to leading video game developers and publishers, is pleased to announce that it has filed its unaudited condensed interim consolidated financial statements (the “Financial Statements”) and related management’s discussion and analysis (the “MD&A”) for the three months ended April 30, 2023 (“Q2 2023”) the highlights of which are presented in this news release. The Financial Statements and MD&A are available on and on the Company’s website.

Q2 2023 Financial Highlights:

  • Revenue of $10.99 million for Q2 2023
  • Gross profit of $1.92 million for Q2 2023
  • Total assets as at April 30, 2023 of $16.88 million

“At ESE, we deeply value our shareholders’ feedback and have taken real steps to maximize shareholder value. Recognizing the market has yet to fully appreciate our worth, we’re proactively unlocking value. Our quiet period this quarter reflects the intense groundwork being laid for our ambitious 2023 success plan, aimed at fostering growth and profitability through strategic initiatives, without the need for capital raising. Our teams are hard at work, and we’re excited about the prospects. You can look forward to upbeat progress and compelling developments in the near future.” stated Konrad Wasiela, CEO of ESE.

“This quarter has given us the opportunity to focus on business priorities that will set the stage for long-term shareholder value. At ESE, building financial strength has been a top priority, and through rigorous cost management, strategic investments, and fostering innovation, we are creating a foundation that is not only robust but also adaptive to the evolving market dynamics. Our team remains committed to pursuing excellence for our shareholders.” stated Andrea Lieuwen, CFO of ESE.

Q2 2023 Operational Highlights:

  • In February 2023, ESE entered into a strategic partnership with Poznań Game Arena (“PGA”) and Metapro to organize the first ever Web3 Game Arena (W3GA).
  • In March 2023, ESE CEO was Featured on Benzinga’s Live Trading Show
  • In March 2023, ESE CEO was Featured CBC on the “Player’s Own Voice” podcast.
  • In April 2023, ESE Produced Two Live LAN Finals for Riot Games’ League of Legends and Electronic Arts’ FIFA23

The financial and operating results discussed in this news release are based on the Financial Statements and MD&A, which were released on June 29, 2023. It is only in the context of the fulsome information and disclosures contained in the Financial Statements and MD&A that an investor can properly analyze this information. The Financial Statements and MD&A will be published under the Company’s profile on SEDAR at

All amounts are in Canadian dollars.

ESE Entertainment Inc.

Konrad Wasiela

Chief Executive Officer and Director

+1 (437) 826-4012

About ESE Entertainment Inc.

ESE is a global technology company focused on gaming and esports. The Company provides a range of services to leading video game developers, publishers, and brands by providing technology, infrastructure, and fan engagement services internationally. ESE also operates its own ecommerce channels, esports teams, and gaming leagues. |


This news release contains certain statements that may constitute forward-looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that ESE anticipates or expects may or will occur in the future (in whole or in part) should be considered forward-looking information. Such information may involve, but is not limited to, statements with respect to: the Company’s ability to achieve increased profitability and high gross margins; the completion of the acquisition of Frenzy and Digital Motorsports and the consideration payable thereunder; the Company’s plans to focus on its core intellectual property and technology offering, GameAddik; the Company establishing long term sustainability; and the Company delivering value to its shareholders. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative variations) of such words and phrases, or statements formed in the future tense or indicating that certain actions, events or results “may”, “could”, “would”, “might” or “will” (or other variations of the forgoing) be taken, occur, be achieved, or come to pass. Forward-looking information is based on currently available competitive, financial and economic data and operating plans, strategies or beliefs as of the date of this news release, but involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of ESE to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors may be based on information currently available to ESE, including information obtained from third-party industry analysts and other third-party sources, and are based on management’s current expectations or beliefs regarding future growth, results of operations, future capital (including the amount, nature and sources of funding thereof) and expenditures. Any and all forward-looking information contained in this press release is expressly qualified by this cautionary statement. Trading in the securities of ESE should be considered highly speculative.

This press release contains future-oriented financial information and financial outlook information (collectively, “FOFI“) about ESE’s prospective results of operations and components thereof, all of which are subject to the same assumptions, risk factors, limitations, and qualifications as set forth in the above paragraph. FOFI contained in this document was approved by management as of the date of this document and was provided for the purpose of providing further information about ESE’s future business operations. ESE disclaims any intention or obligation to update or revise any FOFI contained in this document, whether as a result of new information, future events or otherwise, unless required pursuant to applicable law. Readers are cautioned that the FOFI contained in this document should not be used for purposes other than for which it is disclosed herein.


This press release includes references to adjusted EBITDA. Adjusted EBITDA is a non-IFRS financial measure and is defined by the Company as net income or loss before income taxes, depreciation, commissions, finder’s fees and stamp duty for acquisitions, share-based payments, interest, impairment of assets, accretion, and foreign exchange gain or loss. We believe that adjusted EBITDA is a useful measure of financial performance because it provides an indication of the Company’s ability to capitalize on growth opportunities in a cost-effective manner, finance its ongoing operations and service its financial obligations.

This non-IFRS financial measure is not an earnings or cash flow measure recognized by IFRS and does not have a standardized meaning prescribed by IFRS. Our method of calculating such a financial measure may differ from the methods used by other issuers and, accordingly, our definition of this non-IFRS financial measure may not be comparable to similar measures presented by other issuers. Investors are cautioned that non-IFRS financial measures should not be construed as an alternative to net income determined in accordance with IFRS as indicators of our performance or to cash flows from operating activities as measures of liquidity and cash flows.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE ESE Entertainment Inc.

For further information about ESE, please contact:


Condensed Interim Consolidated Statements of Financial Position

(Expressed in Canadian Dollars)

(Unaudited – Prepared by Management)


  April 30, October 31,
Note 2023 2022
(unaudited) (audited)
Current assets      
       Cash $            624,505 $            812,220
       Receivables 8            5,939,582            9,571,707
       Term deposits 301,799
       Prepaid expense and deposits               400,086               305,393
       Inventory 563,415               797,018
           7,527,588 11,788,137
Property and equipment 9 2,354,748            2,500,218
Deposit and investment 12 326,989 287,841
Intangible assets 5, 7, 10 3,510,027            3,713,342
Goodwill 5, 6, 7, 11            3,160,975 3,160,975
Total assets $       16,880,327 $       21,450,513
Current liabilities      
       Accounts payable and accrued liabilities 13, 20 $         4,411,155 $         6,977,112
       Lease liabilities 14 278,607                 301,874
       Acquisition payment commitment 6, 7 862,801 2,992,195
       Income taxes payable 656,412 730,423
       Loans and credit facilities 15 1,254,763 2,033,719
        Current portion of convertible notes 16 3,209,431                –
       Consideration payable 6 274,667 632,928
       Deferred revenue 21                 84,104               268,519
11,031,940 13,936,770
Consideration payable 6 257,859
Loans payable 15 517,705 358,090
Convertible notes 16 926,209 2,806,965
Deferred income tax liability 915,852 915,852
Lease liabilities 14 835,307                941,082
         14,227,013          19,216,618
       Share capital 17          50,419,873          44,305,370
       Share subscriptions received 1,050                   8,700
       Commitment to issue shares 5, 6, 17            2,389,843            3,937,227
       Contributed surplus            5,783,870            5,193,753
       Accumulated other comprehensive loss               137,851              (139,456)
       Deficit         (55,383,833)         (50,598,482)
Equity attributable to shareholders 3,348,654 2,707,112
Non-controlling interest (695,340)            (473,217)
Total equity            2,653,314            2,233,895
Total liabilities and equity $       16,880,327 $       21,450,513






Condensed Interim Consolidated Statements of Loss and Comprehensive Loss

For the three and six months ended April 30, 2023 and 2022

(Expressed in Canadian Dollars)

(Unaudited – Prepared by Management)

    For the three months ended

April 30,

For the six months ended

April 30,

  Note 2023 2022 2023 2022
Revenue 21 $         10,991,465 $        15,002,676 $        24,909,855 $        23,028,370
Cost of sales 21 9,072,697 11,662,933 20,545,364 19,053,266
Gross Profit 1,918,768 3,339,743 4,364,491 3,975,104
   Share-based payments 17, 20              1,125,140             1,629,218             2,799,227             2,155,419
   Wages, benefits and consulting 1,143,482 996,767 2,388,903 1,507,613
   General and administration                 529,542                585,889             1,386,183                936,196
   Advertising and promotion                 180,728                232,108                280,386                516,916
   Professional fees 20 339,537 513,272 576,830 698,385
   Finder’s fees and stamp duty for acquisitions and commissions 6 59,719 802,326 117,665 1,084,035
   Amortization 9, 10                 246,139                104,696                511,812                180,970
Filing fees, bad debts and other expense                 207,143                124,704                204,373                214,533
             3,831,430             4,988,980             8,265,379             7,294,067
Loss before other items            (1,912,622)            (1,649,237)           (3,900,888)           (3,318,963)
Other items:      
      Interest expense               (335,574)                 (49,320)              (508,880)                (67,298)
      Accretion expense 16 (165,885) (33,005) (267,638) (33,005)
      Gain on debt settlement 22,105 22,105
Gain on revaluation of consideration payable 6                 160,669                            –                380,878                            –
      Foreign exchange gain (loss)               (157,559)                  37,142              (234,937)                  26,851
              (476,244)                 (45,183)              (608,472)                (73,452)
Net loss for the period before taxes            (2,388,906)            (1,694,420)           (4,509,360)           (3,392,415)
Provision for income taxes (547,650) (319,713) (498,114) (327,775)
Net loss for the period (2,936,556) (2,014,133) (5,007,474) (3,720,190)
Other comprehensive income (loss)      
Gain (loss) on translation of foreign operations                 209,988               (103,095)                277,307                  95,365
Total comprehensive loss for the period $         (2,726,568) $         (2,117,228) $        (4,730,167) $        (3,624,825)
Net loss attributable to:      
Shareholders of the company                   $         (2,837,703)                  $         (2,115,269)                  $         (4,785,351)                  $         (3,773,891)
Non-controlling interest                 (98,853)                101,136              (222,123)                  53,701
 Net loss for the period                   $         (2,936,556)                  $         (2,014,133)                  $         (5,007,474)                  $         (3,720,190)
Total comprehensive loss attributable to:      
Shareholders of the company $         (2,627,715) $         (2,218,364) $         (4,508,044) $         (3,678,526)
Non-controlling interest                 (98,853)                101,136              (222,123)                  53,701
Total comprehensive loss for the period $         (2,726,268) $         (2,117,228) $         (4,730,167) $         (3,624,825)
Basic and diluted loss per common share  $                  (0.04)  $                  (0.04)  $                  (0.06)  $                  (0.06)
Weighted average number of common shares outstanding            79,479,956 70,375,651 76,179,608 65,886,490

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