Company: GAME
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004869
Chunk: 685

Company: GameSquare Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 4
Chunk 685
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. Contracts with the Company’s customers primarily
utilize a usage-based structure, where cost per thousand impressions (CPM) pricing is consistent over the contract term. Contracts with
the Company’s customers may also utilize other pricing arrangements, including minimum commitments, overages based on tiered pricing
or flat fees. During the year ended December 31, 2024, the Company recognized revenue of $96 million.

F-4

Revenue recognition (continued) 

Description of the Matter (continued)

The principal consideration for our determination
that performing procedures relating to revenue recognition is a critical audit matter is a high degree of auditor effort in performing
procedures related to the Company’s revenue recognition.

How the Critical Audit Matter Was Addressed in
the Audit

Addressing the matter involved performing procedures
and evaluating audit evidence in connection with forming our overall opinion on the consolidated financial statements. These procedures
included, but were not limited to:

■Obtaining an understanding of
internal controls over the Company’s process relating to revenue recognition. 

■Testing revenue recognized for
a sample of revenue transactions by obtaining and inspecting source documents, such as customer contracts, invoices, impressions data,
and cash receipts, and recalculating the revenue recognized based on the terms of the customer contract and impressions data. 

■Confirming a sample of outstanding
customer balances as of December 31, 2024 and, for confirmations not returned, obtaining and inspecting source documents, such as customer
contracts, invoices, impressions data, and subsequent cash receipts.

/s/
Kreston GTA LLP

We
have served as the Company’s auditor since 2020.

Markham,
Ontario, Canada

April
15, 2025

F-5

GameSquare
Holdings, Inc.

Consolidated
Balance Sheets

    December 31, 2024  
    December 31, 2023 
  
    Assets 

    Cash 
    $12,094,950  
    $2,945,373 
  
    Restricted cash 
     1,054,030  
     47,465 
  
    Accounts receivable, net 
     21,330,847  
     16,459,684 
  
    Government remittances 
     119,721  
     1,665,597 
  
    Contingent consideration, current 
     -  
     207,673 
  
    Promissory note receivable, current