Company: GAME
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010979
Chunk: 125

Company: GameSquare Holdings, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 125
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 weaknesses:
(i) the Company did not complete a documented risk assessment, and (ii) the Company did not identify all risks and design relevant controls
related to system of internal controls. As a consequence of the aggregation of the foregoing deficiencies in the Company’s DC&P
and ICFR design, the Company did not have effective control activities related to the design of process-level and management review control
activities. Aside from these deficiencies, management believes that the Company’s condensed consolidated financial statements for
three months ended March 31, 2025, present fairly in all material respects, the Company’s financial position, results of operations,
changes in shareholders’ equity and cash flows in accordance with U.S GAAP. The Company does not believe and is not aware of any
circumstance in which the potential weaknesses have impacted the Company’s financial reporting and as a result, there were no material
adjustments to the Company’s condensed consolidated financial statements for the three months ended March 31, 2025. In addition,
there were no changes to previously released financial results. However, if the collective deficiencies were deemed to create a material
weakness, a material misstatement to our consolidated financial statements might not be prevented or detected on a timely basis.

Management’s
Remediation Measures

To
address the deficiencies identified, management, with oversight of the Audit Committee, has implemented, or will implement, remediation
measures to further address the deficiencies in the design of its DC&P and ICFR. The Company intends to complete such remedial measures
by December 31, 2026. Management has also performed an initial risk assessment using a top-down, risk-based approach with respect to
the risks of material misstatement of the consolidated financial statements. In addition, compensating controls have been applied to
a number of areas where the risks of material misstatement are considered moderate to high. The Company is engaging outside resources
to strengthen the business process documentation and help with management’s self-assessment and testing of internal controls. Although
the Company can give no assurance that these actions will remediate these deficiencies or that additional deficiencies or a material
weaknesses will not be identified in the future, management believes the foregoing efforts will, when implemented, strengthen our DC&P
and ICFR. Management will take additional remedial actions as necessary as they continue to evaluate and work to improve the Company’s
control environment.

Changes
in Internal Control Over Financial Reporting

There
were no changes in the Company’s internal control over