# EDGAR Filing Document

**Accession Number:** 0001708341
**File Stem:** 0000929638-25-004351
**Filing Date:** 2025-11
**Character Count:** 28037
**Document Hash:** 16f1e858da2b06c1a40b8a08e4dc2a59
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000929638-25-004351.hdr.sgml**: 20251120

**ACCESSION NUMBER**: 0000929638-25-004351

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20251120

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20251120

**DATE AS OF CHANGE**: 20251120

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Allied Gaming & Entertainment Inc.
- **CENTRAL INDEX KEY:** 0001708341
- **STANDARD INDUSTRIAL CLASSIFICATION:** SERVICES-AMUSEMENT & RECREATION SERVICES [7900]
- **ORGANIZATION NAME:** 07 Trade & Services
- **EIN:** 821659427
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-38226
- **FILM NUMBER:** 251503119

**BUSINESS ADDRESS:**
- **STREET 1:** 745 FIFTH AVENUE
- **STREET 2:** SUITE 500
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10151
- **BUSINESS PHONE:** (646) 768-4240

**MAIL ADDRESS:**
- **STREET 1:** 745 FIFTH AVENUE
- **STREET 2:** SUITE 500
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10151

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Allied Esports Entertainment, Inc.
- **DATE OF NAME CHANGE:** 20190815

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Black Ridge Acquisition Corp.
- **DATE OF NAME CHANGE:** 20170602

?xml version='1.0' encoding='ASCII'?

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#### UNITED STATES

#### SECURITIES AND EXCHANGE COMMISSION

#### Washington, D.C. 20549

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### FORM 8-K

#### CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

#### Date of Report (Date of earliest event reported): November 20, 2025

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## Allied Gaming & Entertainment Inc.
(Exact name of registrant as specified in its charter)

------

---

| | | |
|:---|:---|:---|
| **Delaware** | **001-38226** | **82-1659427**<br>|
| (State or other jurisdiction <br> of incorporation) | (Commission <br> File Number) | (IRS Employer <br> Identification No.) |

---

#### 745 Fifth Avenue, Suite 500

#### New York, New York 10151
(Address of principal executive offices, including zip code)

(646) 768-4240

(Registrant's telephone number, including area code)

#### Not Applicable
(Former Name or Former Address, if Changed Since Last Report)

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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

<u>Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:</u>

---

| | |
|:---|:---|
| **<u>Title of each class</u>** | **<u>Name of each exchange on which registered</u>** |
| Common Stock, par value $0.0001 per share<br> AGAE | NASDAQ |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter):

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

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#### Item 2.02. Results of Operations and Financial Condition
On November 20, 2025, Allied Gaming & Entertainment Inc. (the "Company") issued a press release announcing its financial results for the fiscal quarter ended September 30, 2025. A copy of the press release is furnished as Exhibit 99.1 to this Form 8-K.

The information in this Item 2.02, including the information contained in the press release furnished as Exhibit 99.1, is deemed to be "furnished" and not "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), is not otherwise subject to the liabilities of that Section, and shall not be deemed incorporated by reference into any filing of the Company under the Exchange Act or the Securities Act of 1933, as amended, regardless of any general incorporation language in such filing.

#### Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.

---

| | |
|:---|:---|
| **Exhibit No.** | **Description** |
| [99.1](exhibit99-1.htm) | [Press release dated November 20, 2025](exhibit99-1.htm) |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |

---

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#### SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
|  | **ALLIED GAMING & ENTERTAINMENT, INC.** | **ALLIED GAMING & ENTERTAINMENT, INC.** |
| Date: November 20, 2025 | By: <br>| /s/ Roy Anderson |
|  |  | Roy Anderson |
|  |  | Chief Financial Officer |

---

## Exhibit 99.1

**Exhibit 99.1**<br>

![](agae_logo.jpg)

#### Allied Gaming & Entertainment Announces Third Quarter 2025 Financial Results

**New York, NY (November 20, 2025)** – Allied Gaming & Entertainment, Inc. (NASDAQ: AGAE) (the "Company" or "AGAE"), a global experiential entertainment company, today announced financial results for the third quarter ended September 30, 2025.

"With the disruptions related to a dissident stockholder now completely behind us following the third quarter, we are laser focused on advancing our strategic initiatives as we close out the year," said James Li, Chairman & CEO of AGAE. "We are particularly pleased with our recent acquisition of Saiju School, a leading Japanese vocational high school, which will be renamed Allied International Futuretech Academy (AIFA). This acquisition is highly synergistic to our core business and represents a pivotal transformational step for Allied. We believe this is the first of many announcements, which will be followed by further global expansion into markets including Dubai, Hainan, and more."

#### Third Quarter 2025 Financial Results
Revenues: Total revenues of $1.8 million decreased 15% compared to $2.2 million in the third quarter of 2024. The year-over-year decrease was primarily attributable to a $0.3 million decrease in in-person revenues generated from arena events.

Total costs and expenses for the third quarter were $9.2 million, up from $3.3 million in the prior-year period, primarily driven by a $4.4 million increase in legal and professional fees incurred in connection with complaints filed by a dissident stockholder, a lawsuit filed against the stockholder for violations of Section 13 of the Securities Exchange Act of 1934, and a proxy contest between the Company and such stockholder.

Net loss for the third quarter of 2025 was $5.4 million compared to net loss of $4.0 million in the prior-year period.

Adjusted EBITDA loss was $2.0 million for the third quarter of 2025 compared to a loss of $0.1 million in the third quarter of 2024. A reconciliation of the GAAP-basis net income (loss) to adjusted EBITDA is provided in the table at the end of this press release.

#### Balance Sheet
As of September 30, 2025, the Company had a cash and short-term investments position of $56.0 million, compared to $71.5 million at December 31, 2024. At September 30, 2025, the Company had a working capital position of $36.7 million compared to $64.3 million at December 31, 2024. As of September 30, 2025, the Company had approximately 38.0 million shares of outstanding common stock.

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#### Corporate Developments

As part of Allied's strategy to invest in globally iconic IP and building original content IP, the Company has participated in the production investment of The Angry Birds Movie 3 through Flywheel Media. The film is being globally distributed by Paramount Pictures and produced by Rovio Entertainment Corporation and SEGA, together with Namit Malhotra and Prime Focus Studios, in partnership with Flywheel Media, One Cool Group, and dentsu. Production remains well on schedule, with an updated target release of December 23, 2026, positioning it as the only animated feature in the holiday window and capturing the peak family viewing season. Paramount Pictures has also announced that MrBeast and Salish Matter have joined the cast, further enhancing the film's global market appeal.

#### Operational Update
The Company hosted events on 72 days in the third quarter of 2025, with 33 proprietary events and 39 third-party event days. Key third-party activations included SOPHOS Corporate Reception, a cybersecurity industry client engagement event with gaming integrations; Global Gaming League's SZN Zero Launch, featuring celebrity-owned teams led by Ne-Yo and T-Pain competing in Tekken 8; and Steel City Interactive's Undisputed Tournament Showcase, a WBC-sanctioned esports event highlighting the Undisputed boxing title with top creators and boxing personalities. The Allied Esports Mobile Gaming Truck traveled to Los Angeles, CA for the Anime Expo in July and kicked off the 2025 Rally Cry Tour with its first stop at the Georgia World Congress Center, just outside of Mercedes Benz Stadium in Atlanta, GA, ahead of two major college football games.

#### About Allied Gaming & Entertainment
Allied Gaming & Entertainment Inc. (Nasdaq: AGAE) is a global experiential entertainment company focused on providing a growing world of gamers and concertgoers with unique experiences through renowned assets, products and services. For more information, visit <u>alliedgaming.gg</u>.

#### Non-GAAP Financial Measures
As a supplement to our financial measures presented in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"), the Company presents certain non-GAAP measures of financial performance. These non-GAAP financial measures are not intended to be considered in isolation

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from, as a substitute for, or as more important than, the financial information prepared and presented in accordance with GAAP. In addition, these non-GAAP measures have limitations in that they do not reflect all of the items associated with the company's results of operations as determined in accordance with GAAP. Non-GAAP financial measures are not an alternative to the Company's GAAP financial results and may not be calculated in the same manner as similar measures presented by other companies.

The Company provides net income (loss) and earnings (loss) per share in accordance with GAAP. In addition, the Company provides EBITDA (defined as GAAP net income (loss) from continuing operations before interest (income) expense, income taxes, depreciation, and amortization). The Company defines "Adjusted EBITDA" as EBITDA excluding certain non-cash, non-recurring, and unusual items, such as stock-based compensation, non-recurring legal fees, repayments of restricted cash, and unrealized foreign currency transactions.

In the future, the Company may also consider whether other items should also be excluded in calculating the non-GAAP financial measures used by the Company. Management believes that the presentation of these non-GAAP financial measures provides investors with additional useful information to measure the Company's financial and operating performance. In particular, these measures facilitate comparison of our operating performance between periods and help investors to better understand the operating results of the Company by excluding certain items that may not be indicative of the Company's core business, operating results, or future outlook. Additionally, we consider quantitative and qualitative factors in assessing whether to adjust for the impact of items that may be significant or that could affect an understanding of our ongoing financial and business performance or trends. Internally, management uses these non-GAAP financial measures, along with others, in assessing the Company's operating results, measuring compliance with any applicable requirements of the Company's debt financing agreements in place at such time, as well as in planning and forecasting.

The Company's non-GAAP financial measures are not based on a comprehensive set of accounting rules or principles, and our non-GAAP definitions of the "EBITDA" and "Adjusted EBITDA" do not have a standardized meaning. Therefore, other companies may use the same or similarly named measures, but include or exclude different items, which may not provide investors a comparable view of the Company's performance in relation to other companies.

Management compensates for the limitations resulting from the exclusion of these items by considering the impact of the items separately and by considering the Company's GAAP, as well as non-GAAP, financial results and outlook, and by presenting the most comparable GAAP measures directly ahead of non-GAAP measures, and by providing a reconciliation that indicates and describes the adjustments made.

#### Forward Looking Statements
This communication contains certain forward-looking statements under federal securities laws. Forward-looking statements includes, but are not limited to, potential growth opportunities and other statements regarding our goals, beliefs, strategies, objectives, plans, product and service developments, future financial conditions, results or projections or current expectations. In some

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cases, you can identify forward-looking statements by terminology such as "may," "will," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict," "potential," "intend" or "continue," the negative of such terms, or other comparable terminology. These statements are subject to known and unknown risks, uncertainties, assumptions and other factors that may cause actual results to be materially different from those contemplated by the forward-looking statements. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside our control, that could cause actual results or outcomes to differ materially from those discussed in these forward-looking statements. The inclusion of such information should not be regarded as a representation by the Company, or any person, that the objectives of the Company will be achieved. Important factors, among others, that may affect actual results or outcomes include: risks associated with the future direction or governance of the Company; our ability to execute on our strategic and business plans; the substantial uncertainties inherent in the acceptance of existing and future products and services; the ability to retain key personnel; current and potential litigation and related legal expenses; general economic and market conditions impacting demand for our services; our inability to enter into one or more future acquisition or strategic transactions; and our ability, or a decision not to pursue strategic options for the esports business. You should consider the areas of risk described in connection with any forward-looking statements that may be made herein. The business and operations of AGAE are subject to substantial risks, which increase the uncertainty inherent in the forward-looking statements contained in this communication. Except as required by law, we undertake no obligation to release publicly the result of any revision to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Further information on potential factors that could affect our business and results is described under "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the U.S. Securities and Exchange Commission (the "SEC") on June 9, 2025, as well as subsequent reports we file with the SEC. Readers are also urged to carefully review and consider the various disclosures we made in such Annual Report on Form 10-K and in subsequent reports with the SEC.

\# \# \#

#### Investor Contact:
Addo Investor Relations

agae@addo.com

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#### Allied Gaming & Entertainment, Inc. and Subsidiaries

#### Condensed Consolidated Balance Sheets

---

| | | |
|:---|:---|:---|
|  | **September 30,<br> 2025** | **December 31,<br> 2024** |
| **Assets** | | |
| &nbsp;&nbsp;&nbsp; Current Assets |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Cash and cash equivalents | $15447131 | $59242802 |
| &nbsp;&nbsp;&nbsp;&nbsp; Short-term investments (at fair value, except for $0.0 and $8.8 million |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; at September 31, 2025 and December 31, 2024, respectively) | 38347847 | 8800000 |
| &nbsp;&nbsp;&nbsp;&nbsp; Marketable securities | 2155326 | 3483211 |
| &nbsp;&nbsp;&nbsp;&nbsp; Interest receivable | 1162334 | 709539 |
| &nbsp;&nbsp;&nbsp;&nbsp; Accounts receivable | 263836 | 708804 |
| &nbsp;&nbsp;&nbsp;&nbsp; Insurance recovery receivable | - | - |
| &nbsp;&nbsp;&nbsp;&nbsp; Loans receivable | 24422144 | 17629915 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deposits, current portion | - | 3700000 |
| &nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses and other current assets | 1271680 | 471361 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Current Assets** | 83070298 | 94745632 |
| &nbsp;&nbsp;&nbsp; Property and equipment, net | 2445178 | 3000082 |
| &nbsp;&nbsp;&nbsp; Digital assets | 356017 | 49300 |
| &nbsp;&nbsp;&nbsp; Intangible assets, net | 4784574 | 5115686 |
| &nbsp;&nbsp;&nbsp; Land use rights, net | 3936987 | - |
| &nbsp;&nbsp;&nbsp; Deposits, non-current portion | 2794787 | 2614462 |
| &nbsp;&nbsp;&nbsp; Operating lease right-of-use asset | 3461846 | 4365718 |
| &nbsp;&nbsp;&nbsp; Investment in unconsolidated affiliate | 3051300 | - |
| &nbsp;&nbsp;&nbsp; Goodwill | 2866596 | 2796379 |
| **Total Assets** | $106767583 | $112687259 |
| **Liabilities and Stockholders' Equity** |  |  |
| &nbsp;&nbsp;&nbsp; Current Liabilities |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Accounts payable | $7053442 | $1322140 |
| &nbsp;&nbsp;&nbsp;&nbsp; Accrued expenses and other current liabilities | 2278651 | 1151407 |
| &nbsp;&nbsp;&nbsp;&nbsp; Deferred revenue | 302429 | 656382 |
| &nbsp;&nbsp;&nbsp;&nbsp; Operating lease liability, current portion | 1655533 | 1591475 |
| &nbsp;&nbsp;&nbsp;&nbsp; Loans payable | 35141453 | 25756757 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Current Liabilities** | 46431508 | 30478161 |
| &nbsp;&nbsp;&nbsp; Operating lease liability, non-current portion | 2763687 | 4008473 |
| &nbsp;&nbsp;&nbsp; Deferred tax liability | 670743 | 670743 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Liabilities** | 49865938 | 35157377 |
| &nbsp;&nbsp;&nbsp; Commitments and Contingencies (Note 12) |  |  |
| &nbsp;&nbsp;&nbsp; Stockholders' Equity |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Preferred stock, $0.0001 par value, 1,000,000 shares authorized, |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Series A Preferred stock, $0.0001 par value, 50,000 shares designated, |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; none issued and outstanding |  |  |
| &nbsp;&nbsp;&nbsp; Common stock, $0.0001 par value; 100,000,000 shares authorized, |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; 40,294,728 and 46,385,798 shares issued at September 30, 2025 and |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; December 31, 2024, and 38,014,430 and 44,105,500 shares outstanding at |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; September 30, 2025 and December 31, 2024, respectively | 4029 | 4639 |
| &nbsp;&nbsp;&nbsp; Additional paid in capital | 199996860 | 205948565 |
| &nbsp;&nbsp;&nbsp; Accumulated deficit | (145207278) | (130428314) |
| &nbsp;&nbsp;&nbsp; Accumulated other comprehensive income | 282100 | 180002 |
| &nbsp;&nbsp;&nbsp; Treasury stock, at cost, 2,280,298 shares at September 30, 2025 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; and December 31, 2024, respectively | (2694075) | (2694075) |
| **Total Allied Gaming & Entertainment Inc. Stockholders' Equity** | 52381636 | 73010817 |
| &nbsp;&nbsp;&nbsp; Non-controlling interest | 4520009 | 4519065 |
| **Total Stockholders' Equity** | 56901645 | 77529882 |
| **Total Liabilities and Stockholders' Equity** | $106767583 | $112687259 |

---

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#### Allied Gaming & Entertainment, Inc. and Subsidiaries

#### Condensed Consolidated Statements of Operations
(unaudited)

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the Three Months Ended<br> September 30,** | **For the Three Months Ended<br> September 30,** | **For the Nine Months Ended<br> September 30,** | **For the Nine Months Ended<br> September 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| **Revenues:** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; In-person | $1008983 | $1345484 | $3826733 | $3518044 |
| &nbsp;&nbsp;&nbsp;&nbsp; Multiplatform content | 67 | 71 | 204 | 182 |
| &nbsp;&nbsp;&nbsp;&nbsp; Casual mobile gaming | 837862 | 817986 | 2214593 | 3664244 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Revenues** | 1846912 | 2163541 | 6041530 | 7182470 |
| &nbsp;&nbsp;&nbsp;&nbsp; **Costs and Expenses:**<br> In-person (exclusive of depreciation and amortization) | 613711 | 682652 | 2091982 | 1820818 |
| &nbsp;&nbsp;&nbsp;&nbsp; Casual mobile gaming (exclusive of depreciation and amortization) | 732802 | 700918 | 2051374 | 3198988 |
| &nbsp;&nbsp;&nbsp;&nbsp; Research and development expenses | 174774 | 158162 | 522627 | 526906 |
| &nbsp;&nbsp;&nbsp;&nbsp; Selling and marketing expenses | 78989 | 90512 | 200647 | 198561 |
| &nbsp;&nbsp;&nbsp;&nbsp; General and administrative expenses | 7176192 | 1308346 | 18675907 | 9399828 |
| &nbsp;&nbsp;&nbsp;&nbsp; Depreciation and amortization | 404862 | 403524 | 1177012 | 1183692 |
| &nbsp;&nbsp;&nbsp;&nbsp; Impairment of property and equipment |  | - | - |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Costs and Expenses** | 9181330 | 3344114 | 24719549 | 16328793 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Loss From Operations** | (7334418) | (1180573) | (18678019) | (9146323) |
| &nbsp;&nbsp;&nbsp;&nbsp; **Other (Expense) Income:**<br> Other (expense) income, net | 324365 | (827) | 292273 | 414 |
| &nbsp;&nbsp;&nbsp;&nbsp; Realized gain on investment in money market fund | 26825 | - | 412934 | - |
| &nbsp;&nbsp;&nbsp;&nbsp; Loss on escrow settlement | - | (3000000) | - | (3000000) |
| &nbsp;&nbsp;&nbsp;&nbsp; Gain on investment in marketable securities and and short-term investmen | (113830) | - | 398763 | - |
| &nbsp;&nbsp;&nbsp;&nbsp;(Loss) gain on foreign currency transactions, net | 281754 | (1213446) | (819287) | (862012) |
| &nbsp;&nbsp;&nbsp;&nbsp; Change in fair value of digital assets | 52510 | - | 17289 | - |
| &nbsp;&nbsp;&nbsp;&nbsp; Interest income, net | 1363810 | 1033362 | 3243209 | 2934035 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total Other (Expense) Income** | 1935434 | (3180911) | 3545181 | (927563) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Pre-Tax Loss** | (5398984) | (4361484) | (15132838) | (10073886) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Income tax benefit | - | 332862 | - | 332862 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Net Loss** | (5398984) | (4028622) | (15132838) | (9741024) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Less: net loss attributable to non-controlling interest | (37755) | (681) | (123991) | (210715) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Net Loss Attributable to Common Stockholders** | $(5361229) | $(4027941) | $(15008847) | $(9530309) |
| **Net Loss per Common Share** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Basic and Diluted | $(0.14) | $(0.11) | $(0.37) | $(0.24) |
| &nbsp;&nbsp;&nbsp;&nbsp; <br> **Weighted Average Number of Common Shares Outstanding:**<br> Basic and Diluted | 37713944 | 37219904 | 40190265 | 39753952 |

---

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#### Allied Gaming & Entertainment, Inc. and Subsidiaries

#### Non-GAAP Financial Measures

EBITDA and Adjusted EBITDA are non-GAAP financial measures and should not be considered as a substitute for net income (loss), operating income (loss) or any other performance measure derived in accordance with United States generally accepted accounting principles ("GAAP") or as an alternative to net cash provided by operating activities as a measure of AGAE's profitability or liquidity. AGAE's management believes EBITDA and Adjusted EBITDA are useful because they allow external users of its financial statements, such as industry analysts, investors, lenders and rating agencies, to more effectively evaluate its operating performance, compare the results of its operations from period to period and against AGAE's peers without regard to AGAE's financing methods, hedging positions or capital structure and because it highlights trends in AGAE's business that may not otherwise be apparent when relying solely on GAAP measures. AGAE presents EBITDA and Adjusted EBITDA because it believes EBITDA and Adjusted EBITDA are important supplemental measures of its performance that are frequently used by others in evaluating companies in its industry. Because EBITDA and Adjusted EBITDA exclude some, but not all, items that affect net income (loss) and may vary among companies, the EBITDA and Adjusted EBITDA AGAE presents may not be comparable to similarly titled measures of other companies. AGAE defines EBITDA as earnings before interest, income taxes, depreciation and amortization of intangibles. AGAE defines Adjusted EBITDA as EBITDA excluding stock-based compensation and non-recurring, infrequent or unusual items.

The following table presents a reconciliation of EBITDA and Adjusted EBITDA from net loss, AGAE's most directly comparable financial measure calculated and presented in accordance with GAAP. <br>

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Three Months Ended<br> September 30,** | **Three Months Ended<br> September 30,** | **Nine Months Ended<br> September 30,** | **Nine Months Ended<br> September 30,** |
|  | **2025** | **2024** | **2025** | **2024** |
| **Net loss** | $(5398984) | $(4028622) | $(15132838) | $(9741024) |
| Interest income, net | (1363810) | (1033362) | (3243209) | (2934035) |
| Depreciation and amortization | 404862 | 401452 | 1177012 | 1181620 |
| &nbsp;&nbsp;&nbsp;&nbsp; **EBITDA** | (6357932) | (4660532) | (17199035) | (11493439) |
| Non-recurring legal fees (1) | 1674302 | 102854 | 5701790 | 2161605 |
| Non-recurring proxy contest and other costs (2) | 2803091 | - | 3880942 | - |
| (Gain) loss on investment in marketable securities | 113830 | - | (398763) | - |
| (Gain) on investment in money market fund | (26825) | - | (412934) | - |
| Loss (gain) on foreign currency transactions, net | (281754) | 1213446 | 819287 | 862012 |
| Loss on settlement of Brookfield agreement | - | 3000000 | - | 3000000 |
| Stock based compensation | 115228 | 229730 | 494426 | 903639 |
| &nbsp;&nbsp;&nbsp;&nbsp; **Adjusted EBITDA** | $(1960060) | $(114502) | $(7114287) | $(4566183) |

---

#### Footnotes

(1) Represents defense and other costs related to complaints filed by a shareholder in the Court of Chancery of the State of Delaware on March 7, 2024 and November 12, 2204.

(2) Represents legal and other professional fees related to a proxy contest between the Company and a dissident shareholder along with a 13D suit we filed against such shareholder.