Company: GAME
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010979
Chunk: 77

Company: GameSquare Holdings, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 77
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5 and 2024, respectively.

One
customer individually accounted for more than 10% of the Company’s accounts receivable as of March 31, 2025, and no customer as
of December 31, 2024.

(e)
Segment reporting

In
accordance with the ASC 280, Segment Reporting, the Company’s Chief Operating Decision Maker (“CODM”) has been
identified as the Chief Executive Officer, who reviews operating results to make decisions about allocating resources and assessing performance
for the entire Company. There were no significant changes to the Company’s segment reporting disclosures as a result of adopting ASU
No 2023-07.

The
CODM uses gross profit, as reviewed at periodic business review meetings, as the key measure of the Company’s results as it reflects
the Company’s underlying performance for the period under evaluation to determine resource allocation. As of March 31, 2025, the
Company is organized into the three operating segments, which also represent its three reportable segments: Teams, Agency and Software-as-service
(SaaS) + Advertising.

ASC
280 establishes requirements to report selected segment information quarterly and to report annually entity-wide disclosures about products
and services, major customers, and the countries in which the entity holds material assets and reports revenue.

3.
Recent accounting pronouncements

(a)
Adopted

In
December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No.
2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 requires that
public business entities must annually (1) disclose specific categories in the rate reconciliation and (2) provide additional information
for reconciling items that meet a quantitative threshold (if the effect of those reconciling items is equal to or greater than 5 percent
of the amount computed by multiplying pretax income or loss by the applicable statutory income tax rate). This ASU is effective for fiscal
years beginning after December 15, 2024, with early adoption permitted. The ASU is to be applied prospectively. Retroactive application
is permitted. The adoption of this ASU did not have a significant impact on the Company’s consolidated financial statements.

In
November 2023, the FASB issued ASU No 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (“AS