Guild Esports records £8.75m loss for 2022; optimistic for 2023

31 January 2023


UK-based esports organisation Guild Esports has revealed financial details for 2022 via its latest annual report.

For the year ending on September 30, 2022, the company, listed on the London Stock Exchange, saw a total loss of £8.75m, as well as increases in revenue and sponsorship deals.

The overall loss is marginally smaller than in 2021 when Guild reported a loss of £8.82m. The overall annual revenue also increased to £4.5m compared to £1.9m in 2021. The main source of revenue was sponsorship, which increased from £1.2m in 2021 to £3.2m in 2022. The company also ended 2022 with reduced cash reserves. A total of £2.73m cash and cash equivalents were available in September 2022, compared to £10.7m in 2021. Guild has £1.6m remaining as of January 2023.

The overall cash burn is expected to fall due to “a £2.5m reduction in operating costs implemented at the end of the 2022 financial year.” In June 2022, Guild Esports reduced the number of its staff from around 45 to 30.

The financial results might be better than some expected, given the previous news from Guild Esports. The company shared that it is “on track to deliver significant revenue growth in the current year.”

Jasmine Skee, Guild Esports CEO, said: “The new year has started well with a lower cost base, a strengthened Board and senior management teams, as well as a focus on expanding our revenue streams and audience, all of which place Guild in an excellent position to continue its positive momentum. We, therefore, look to the future with confidence.”

The company saw a number of changes in leadership in 2022, with its CEO Kal Hourd stepping down and Jasmine Skee becoming its new CEO. Early in the year, we also saw three non-executive Directors of Guild Esports step down, as well as its Executive Finance Director James Savage.

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All was not bad for Guild, though. The company doubled down on partnerships, striking an important one with Sky UK, renewing its Samsung partnership, and connecting with Hyperice and Coca-Cola. Guild Esports also founded an esports college and saw three new executives join the company in early 2023.

The company also renegotiated its agreement with its minority owner and brand ambassador, former footballer and Inter Miami owner David Beckham. This renegotiation benefited Guild, as the company was no longer obligated to pay a minimum sum of £15.25m to Beckham’s company Footwork Productions. Guild reduced the total minimum payment obligation by £7.5m.

Ivan Šimić
Ivan comes from Croatia, loves weird simulator games, and is terrible at playing anything else. Spent 5 years writing about tech and esports in Croatia, and is now doing it here.