London-based esports organization Guild Esports has revealed a loss of $6.1 million in its latest financial report.
The organization, famously known to be backed by former soccer superstar David Beckham, mentioned that the loss is before tax applications, which was “reflecting investment in teams and operational staff, corporate infrastructure, Guild Academy and content creation.” It also revealed its total revenue of $1.3 million, as well as a gross profit of $860,000 over the six-month period.
Though it is also worth noting that Guild Esports stated that it lowered its staff in the past few months, approximately cutting around 15 staff members since March 31 due to the “growing global economic uncertainty and challenging capital market conditions.”
“As a result of growing economic uncertainty and challenging market conditions, significant action was taken in the first half to streamline the company’s cost base,” Guild said in the report. “These measures include a rationalization of suppliers and right-sizing staff numbers.”
But apart from the financial aspect, some of the organization’s highlights were also included in the report. This includes its three-year sponsorship deal with Bitstamp worth $5.5 million, the launch of Guild’s all-female VALORANT roster, the commencement of its share trading on the US OTCQB Venture Market, and its esports achievements, such as the Fortnite Champion Series Grand Royale in November and Fortnite Champion Series EU Final in March.
Guild Esports describes itself as a “global fan-focused team organisation and lifestyle brand that fields professional players in gaming competitions under the Guild banner.” It just recently launched its headquarters in London last June 2, which will also serve as the base for the Guild Academy program with the goal of developing potential esports players aged 11 and above.