Company: GAME
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023589
Chunk: 155

Company: GameSquare Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 155
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7 million during the three months ended September 30, 2024, includes revenue of $4.6 million, cost of revenue of $4.1
million, and operating expenses of $3.3 million.

FaZe
Media had amortization and depreciation of $0.3 million and $0.9 million for the nine months ended September 30, 2025 and 2024. FaZe
Media did not have significant capital expenditures or significant noncash activity during the periods presented.

(c)
Frankly

During
the third quarter of 2025, the Company executed a plan to discontinue the operations of Frankly, following a strategic decision to focus
the Company’s resources on its full-service creative agency, SaaS and newly launched digital asset treasury. Subsequent to the
Frankly asset disposal (Note 4), the business of Frankly that remained was its legacy programmatic advertising operation. Given its single
digit-gross margins and operating losses, management deemed it in the best interest of the Company to discontinue operations of Frankly.
During the three and nine months ended September 30, 2025, Frankly met the requirements to be reported as discontinued operations.

The
Company recognized a pretax net loss of $9.5 million and $6.2 million for the nine months ended September 30, 2025 and 2024, in net income
(loss) from discontinued operations in the consolidated statements of operations and comprehensive loss in relation to Frankly. The pretax
net loss of $9.5 million during the nine months ended September 30, 2025, includes revenue of $15.4 million, cost of revenue of $15.1
million, and operating expenses of $9.7 million. The pretax net loss of $6.2 million during the nine months ended September 30, 2024,
includes revenue of $35.2 million, cost of revenue of $33.5 million, and operating expenses of $8.0 million.

The
Company recognized a pretax net loss of $7.0 million and $0.8 million for the three months ended September 30, 2025 and 2024, in net
income (loss) from discontinued operations in the consolidated statements of operations and comprehensive loss in relation to Frankly.
The pretax net loss of $7.0 million during the three months ended September 30, 2025, includes revenue of $14 thousand, cost of revenue