Company: GAME
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004869
Chunk: 544

Company: GameSquare Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 3
Chunk 544
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 in our share price.

Other income (expense) for the year ended December
31, 2024, was $(8.2) million, in comparison to $(0.1) million for the year ended December 31, 2023. Other expense in the current period
is primarily related to loss incurred of $8.3 million on the disposal of Frankly Media remaining SaaS assets which closed on May 31, 2024.
No such loss was incurred in the prior year.

Income tax benefit

Income tax benefit for the year ended December 31,
2024, was $0, in comparison to $55 thousand for the year ended December 31, 2023. The change was trivial between the two periods and relates
to change in deferred tax liabilities during the year.

Net income (loss) from discontinued operations

Net income from discontinued operations for the year
ended December 31, 2024 was $1.2 million, in comparison to a net loss of $5.0 million for the year ended December 31, 2023. The increase
was primarily related to gain on disposal of Complexity of $3.0 million in the 2024 period partially offset by net loss from operations
of Complexity of $1.4 million as compared to a net loss from operations of Complexity of $5.3 million in the 2023 period.

Net loss attributable to non-controlling interest

Net loss attributable to non-controlling
interests for the year ended December 31, 2024 was $5.6 million, in comparison to a $0 for the year ended December 31, 2023. The add
back of loss (income to GameSquare shareholders) represents non-controlling interests share of the net loss of Faze Media.

Management’s
use of Non-GAAP Measures

This
MD&A contains certain financial performance measures, including “EBITDA” and “Adjusted EBITDA,” that are
not recognized under accounting principles generally accepted in the United States of America (“GAAP”) and do not have a
standardized meaning prescribed by GAAP. As a result, these measures may not be comparable to similar measures presented by other companies.
For a reconciliation of these measures to the most directly comparable financial information presented in the Financial Statements in
accordance with GAAP, see the section entitled “Reconciliation of Non-GAAP Measures” below.

We
believe EBITDA is a useful measure to assess the performance of the Company as