Esports holding company OverActive Media has reported increased revenues for Q3 2024, up CAD $800,000 (~£450,000) compared to the same period last year.
The company highlighted that its growth has been driven by the acquisition of esports organisations Movistar Riders and KOI earlier this year, alongside strong digital merchandise sales.
OverActive reported that its revenue for Q3 2024 totalled CAD $6.8m (~£3.8m), reflecting a 14% increase compared to CAD $6.0m (~£3.4m) in Q3 2023.
However, operating costs for Q3 2024 were up by 42% to CAD $7.6m (~£4.3m) compared to CAD $5.4m (~£3m) for Q3 2023. OverActive Media attributed these costs to higher payroll expenses across both corporate and team operations, including its acquired esports assets Movistar Riders and KOI.
In terms of income and loss, the company’s net loss for Q3 2024 was CAD $1.8m (~£1m), a slightly better figure than CAD $2.0m (~£1.1m) in 2023.
It is worth highlighting though that for the entirety of 2024 so far, OverActive Media has recorded a net income of CAD $239,000 (~£134,700). This is significantly better than its CAD $11.2m (~£6.3m) net loss for the first nine months of 2023.
According to the company, this shift to profitability has been driven by strong revenue performance, disciplined cost management and the termination of its Call of Duty League franchise fees.
Interestingly, the company has also released ‘normalised’ figures which take into account OverActive Media’s new revenue recognition model. This model takes the company’s ‘League Revenues’, which often varies quarter-to-quarter, and distributes that revenue evenly over 12 months. Using this normalised figure, OverActive Media noted that revenue increased by 72% compared to Q3 2023.
In a release highlighting the company’s financial results, Adam Admou, CEO of OverActive Media commented: “Our third-quarter results demonstrate OverActive Media’s disciplined execution and growth. With year-to-date revenue up 49% to $17.1m and positive net income of $239,000, we are making significant progress.
“Today, we are operating from a position of financial strength — debt-free, globally diversified, and supported by partnerships with iconic brands like Pepsi, AMD, Telefónica, and Bell. With a clear strategy, strong margins, and transformative agreements in place, we are focused on expanding our opportunities and driving sustainable, profitable growth in the near future.”
Recently, Overactive Media entered into a new agreement with Riot Games that eliminates over $2m (~£1.57m) in franchise payables next year for its LEC team MAD Lions KOI.
