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PLAYMAKER REPORTS THIRD QUARTER 2021 RESULTS HIGHLIGHTED BY STRONG ORGANIC GROWTH

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SPOTLIGHT SPORTS GROUP ANNOUNCES LONG-TERM STRATEGIC PARTNERSHIP WITH PLAYMAKER CAPITAL INC. BRAND YARDBARKER

 

Playmaker Capital Inc. (TSX-V: PMKR) (“Playmaker” or the “Company”), the Toronto-based digital sports media company, today reports its financial results for the third quarter ended September 30, 2021.

“We are excited to share our results from the third quarter and the continuation of the progress that we have made since our Q2 earnings release in August. In Q3 we have begun to see the results of the execution of our roll up strategy with the acquisitions of Yardbarker and Two-Up. We acquired two companies but at the same time focused on the organic growth of our existing portfolio of companies and on the realizable synergies between them. We are seeing strong momentum from all three levers of our growth engine – organic, acquisition, and synergies – and we will continue our efforts to maximize each one. We continue to build our pipeline, as evidenced by the recently announced acquisitions of VarksySports, SuperPoker and The Nation Network. The integration of these companies is well underway, and we are thrilled with the level of collaboration between our companies and the shared vision of building a market-leading sports media business.” said Jordan Gnat, Founder and CEO of Playmaker.

FINANCIAL HIGHLIGHTS (Figures in USD)

  • Revenue – Revenue was $4.8 million in Q3 2021, compared to $nil in Q3 2020.
  • Operating Income – Operating income was $1.0 million in Q3 2021, compared to $nil in Q3 2020.
  • Pro Forma Revenue (including acquisitions through the end of Q3) – Including the results of Futbol Sites LLC (“Futbol Sites”), YB Media LLC (“Yardbarker”) and Two-Up Agency Ltd. (“Two-Up”) on a pro forma basis, revenue was $5.6M in Q3 2021, an increase of 109% from $2.7M in Q3 2020. For the nine months ended September 30, 2021, pro forma revenue was $13.8M, an increase of 130% from $6.0M in the prior year.
  • Pro Forma Adjusted EBITDA (including acquisitions through the end of Q3) – Including the results of Futbol Sites, Yardbarker and Two-Up on a pro forma basis, adjusted EBITDA was $2.5M in Q3 2021, an increase of 153% from $1.0M in Q3 2020. For the nine months ended September 30, 2021, pro forma adjusted EBITDA was $5.3M, an increase of 294% from $1.3M in the prior year.
  • Pro Forma Revenue (including all acquisitions to date) – Including the results of Futbol Sites, Yardbarker, Two-Up, The Nation Network (“TNN”) and Grupo SuperPoker (“SuperPoker”) on a pro forma basis, revenue was $6.3 million in Q3 2021, an increase of 104% from $3.1 million in Q3 2020. For the nine months ended September 30, 2021, pro forma revenue increased by 118% to $15.7 million from $7.2 million in the same period of 2020.
  • Pro Forma Adjusted EBITDA (including all acquisitions to date) – Including the results of Futbol Sites, Yardbarker, Two-Up, TNN and SuperPoker on a pro forma basis, adjusted EBITDA was $2.6 million in Q3 2021, an increase of 125% from $1.2M in Q3 2020. For the nine months ended September 30, 2021, pro forma adjusted EBITDA increased to $5.8 million from $1.7 million in the same period of 2020, an increase of 251%.
  • Trailing 12-Month Metrics – Including all acquisitions to date, for the 12 months ended September 30, 2021, pro forma revenue was $20.6 million, representing 85% organic growth over the previous 12-month period, and pro forma adjusted EBITDA was $8.2 million.
  • Cash and Cash Equivalents – Cash and cash equivalents were $13.4 million as at September 30, 2021 compared to $6.6 million at December 31, 2020.

OPERATIONAL HIGHLIGHTS

  • On July 26, 2021, the Company acquired Yardbarker, a premier U.S. sports and entertainment media company, and the Morning Bark, Yardbarker’s daily email newsletter.
  • On August 31, 2021, the Company acquired Two-Up Agency, a leading provider of technical solutions to the online gaming industry’s strongest brands.
  • On November 2, 2021, the Company significantly strengthened its presence in Canada by acquiring TNN and its wholly-owned subsidiary, Daily Faceoff (“DFO”). TNN is an Edmonton-based, hockey-first digital media group that attracts millions of sports fans annually to its network of fan community sites, podcasts, and rapidly growing hockey reference property, DFO.
  • On November 3, 2021, Playmaker acquired leading Brazilian media company SuperPoker.
  • On November 1, 2021, the Company announced that it had acquired the domain name, license rights and the rights to the social accounts @VarskySports on Twitter, Instagram, and Facebook, which have a cumulative global audience of more than two million followers. The purchase price consisted of closing cash payment of $175,000 and the issuance of $25,000 of Playmaker common shares on closing, priced at CAD$0.6819 per share.
  • On a pro forma basis, Playmaker achieved record engagement metrics in the quarter across the Futbol Sites, Yardbarker and TNN owned and operated properties. Playmaker reaches more than 75 million unique users monthly and in Q3 2021, the user base generated more than 442 million sessions across its properties, representing a 70%+ increase over Q3 2020. Playmaker also reaches more than 365,000 users via the Morning Bark.

CONFERENCE CALL INFORMATION

The Company will host a management conference call to discuss its third quarter 2021 financial results on November 15, 2021, at 8:30 a.m. (Eastern Time). Hosting the call will be Jordan Gnat, Chief Executive Officer; Jake Cassaday, Chief Operating Officer; and Mike Cooke, Chief Financial Officer.

To participate in the Conference Call, please dial the following number(s) approximately five minutes prior to commencement and ask to join the Playmaker call:

Dial-In Number (Toll Free): 1-866-807-9684
Dial-In Number (International): 1-412-317-5415

A replay of the Conference Call will be available between November 15, 2021, and December 31, 2021, and can be accessed at playmaker.fans/investors.

A Q3 2021 Company Overview presentation can also be accessed at playmaker.fans/investors.

To sign up for Playmaker Investor Alerts, follow this link: PMKR Investor Alerts

Interviews

Women in iGaming Interview: White Hat Studios’ Holly Fairweather

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Women in iGaming Interview: White Hat Studios’ Holly Fairweather

 

Holly Fairweather, Director of US Accounts at House of Brands provider White Hat Studios, sits down with Gaming Americas to discuss the growing influence of women in the iGaming industry, and highlights how more can be done to improve the overall gender imbalance

 

Gaming Americas: Since joining the industry in 2018, have you noticed a change in how women are represented within iGaming companies, as well as general attitudes?

Holly Fairweather (HF): When I reflect on the past six years, it feels great to say I have seen a lot of positive changes in our industry and more importantly, an ever-increasing drive to address gender diversity. There is still work to do, and I am reminded of this attending our industry events, where it’s very evident we still lack female presence in C-level roles and on expert panels. It’s also not hard to see walking around conferences the overall gender imbalance that exists. With that being said, I do feel it’s moving in the right direction and I am regularly inspired by women around me being promoted to senior management roles, providing great mentors and role models. Awareness of gender diversity and celebrating success is continually being pushed via various channels, and for me plays a big part in why we are seeing more women have the confidence to progress in their careers and more women enter the industry. It’s also important to say, and why I think change is happening more, that the want of women to succeed and to increase female presence in our industry, is indeed backed by a strong support network of women supporting women, but also of the men in our industry.

 

Gaming Americas: How important are groups like Global Gaming Women? What kind of initiatives have they offered to help your own career development?

HF: I’ll be honest, I’m still learning about all that Global Gaming Women offers. Working in the US market I see GGW as a substantial network which offers reams of support from training courses, lean in circles and mentorship and networking events just to name a few. I have taken part in a few of the industry wide networking events, and really enjoyed them, connecting with some amazing people, learning more about the industry. One of my objectives this year is to participate in more events, adding value where I can whether that’s within the GGW network or through other avenues.

 

Gaming Americas: What more can the industry do to make it more appealing to women and ensure they are better represented within organizations?

HF: It’s got to start within each individual company taking responsibility for equal representation. This is not a tick box exercise to achieve a target on a gender split % by x date but must be about promotions and roles being rewarded to the best candidate for the role, regardless of gender, ethnic background, or sexual orientation. We need to shout about the success stories of DEI within the industry, creating an inclusive work environment will attract not just more women but more candidates overall, increasing the talent pool.

There is also a piece around exposure and shining the light on the fantastic women we have leading the way. Sharing their career paths, the good, and the challenges, to provide relatable examples of success. To make women in gaming not about the stats or portray the headline as a negative but more around showcasing the women that are successful and why, helping more women relate and pursue a similar path if this is what they wish to do.

 

Gaming Americas: What advice would you give to the next generation of women that are looking to make a breakthrough in the industry?

HF: This is a good one! First and foremost, you lead your own progression. Be proactive in building your network, push yourself out of your comfort zone to attend networking events. Reach out to other women in the industry for support and mentorship. That is on you to drive.

Immerse yourself in a team with values that align with yours, a team that welcomes and promotes diversity of all types and supports and rewards on merit are key.

Build your knowledge, for me knowledge is confidence. Quickly realise it is ok not to know everything, ask the questions and find out. Be solution-oriented, supporting your superiors will get you noticed for going over and above and adding value to your team and company.

I was told ‘people do business with people,’ which I stand by and could not be truer in the igaming industry. Always treat everyone with respect, be kind, be yourself, but don’t forget to back yourself! Relationship building is so key in this industry and has helped me progress to where I am today.

Lastly, take risks. And by this, I mean sometimes you must step out your comfort zone and push yourself to try something different to progress to the next stage. So far, the most pivotable moment in my career and biggest risk I have taken, and I’m sure Andy Whitworth (CEO) and the White Hat Studios (WHS) team won’t mind me saying, was accepting the job at WHS. A brand-new supplier to the US, no content live alongside the fact I had never worked in the US market, so of course there was an element of risk. It was, however, a calculated risk as I was joining a team of experts, senior level management I had worked for previously, in an ever-growing US market. A no brainer now when I look back.

 

Gaming Americas: From a White Hat Studios perspective, what DEI initiatives does the company put in place?

HF: DEI of all types is something I believe increases the performance of a team, and is something we are extremely passionate about at WHS. As we grow and expand, maintaining a strong culture has never been more important. We recently held a WHS workshop in Prague, with one section of our day spent holistically agreeing and locking down our values as a team, ‘Who we are, what we stand for ‘and ‘treating everyone equally’ is now embedded in our company culture as one of our five core values.

I have been lucky in the fact I have never felt that my gender has held me back in my current role and previous igaming companies. Although I understand this has not been everyone’s experience, I truly believe the more we celebrate success, drive awareness, embed inclusion within our companies, and work together across DEI as a whole, we will continue to see women progress and take on careers in igaming.

 

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Lottery.com Inc. Relaunches Sweepstakes Operations

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Lottery.com Inc. announced the restart of its sweepstakes operations in conjunction with the WinTogether Trust, a registered 501(c)3 charitable organization. The proceeds from the sweepstakes will benefit Street Child United. The sweepstakes had a soft launch on April 3, 2024, and is available at http://donateto.win, the successor to Lottery.com’s WinTogether.org platform.

Street Child United is a global organization dedicated to improving the lives of street-connected children. The organization focuses on four key pillars: Ensuring every child has birth registration which provides access to healthcare and education; protecting children against abuse, exploitation, and trafficking; securing access to education; and setting a foundation for gender equality.

Donors are incentivized to give by receiving entries to win an Apple Vision Pro mixed reality headset. More information and donation options can be found at https://donateto.win. The sweepstakes to support Street Child United will continue until 11:59PT on August 31, 2024. The winner will be announced on or around September 20, 2024.

Matthew McGahan, CEO of Lottery.com, said: “This is a significant milestone for Lottery.com. The Company, through its partnership with the WinTogether Trust, is resuming its commitment to supporting philanthropic initiatives that focus on responsible gaming along with local, regional, and global charitable initiatives. Street Child United is a wonderful organization. We believe their mission will resonate with the Sports.com’s growing global user base.”

Bart Myers, Director of the WinTogether Trust, said: “The WinTogether Trust board is excited for our organization to play a role in the resurgence of Lottery.com. Being able to leverage their powerful brands, Lottery.com and Sports.com, will allow us to exponentially expand the number of organizations we support and the financial impact our sweepstakes make for them.”

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Gambling in the USA

Colorado Launches Illegal Gambling Awareness Campaign

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The Colorado Division of Gambling has launched a new illegal gambling awareness campaign.

The “Play Legit. Gamble Only Where Legal.” campaign aims to educate the public about the risks associated with illegal gambling and the importance of supporting regulated gaming venues.

The campaign emphasizes legal gambling options, including casinos in Black Hawk, Central City, and Cripple Creek, as well as online sports betting and off-track betting.

“With many certified and legal gambling sites available, it’s never worth it to put yourself in danger. Together, let’s play by the rules and ensure that Colorado remains a safe and responsible gaming destination. By recognizing and preventing illegal gambling, we all win,” Chris Schroder, Director of the Colorado Division of Gaming, said.

In Colorado, gambling opportunities abound, but not all are legal. Illegal gambling operations not only fail to protect players but can also serve as a breeding ground for serious crimes, including fraud, human trafficking, drug trafficking, and burglary, posing a threat to public safety and community well-being. Participants in illegal gambling activities also compromise personal and financial information, putting individuals at risk of identity theft, unreliable payouts, and potential legal consequences, such as fines and imprisonment.

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GamingAmericas.com (part of HIPTHER) is your one-stop portal for the latest news, insights, and analyses in the gaming industry across the Americas. From legislative updates and market trends to interviews with industry leaders, we provide a comprehensive look at the dynamic landscape of both online and land-based gaming. Whether you're a stakeholder looking to stay ahead of the curve or a gaming enthusiast eager for reliable updates, GamingAmericas.com has got you covered. Follow us on social media and subscribe to our newsletter for real-time updates and exclusive content. Make informed decisions and stay ahead in the game with GamingAmericas.com.

Disclaimer: All the information provided is for educational and entertainment purposes only. Always check your local laws before participating in any gaming activities.

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