Allied Esports Entertainment a global esports entertainment company, has announced financial results for the first quarter ended March 31, 2022.

Total revenues of $2.4 million increased 381% for the first quarter of 2022 compared to the first quarter of 2021. The improvement was driven by increased foot traffic at the company’s HyperX Arena Las Vegas due to an increased number of events, sponsorship revenue from the launch of Allied Esports’ first original branded content offering, as well as first time Non-Fungible Token.

CEO, Lyle Berman, said, “I am very pleased with the operational performance of our Esports business, which generated record revenue and adjusted EBITDA during the quarter and has continued to gain momentum as we emerge from the pandemic and move to a more normalized environment. This solid operational recovery is helping drive strong interest from outside parties as we move ahead with our previously stated objective to pursue strategic alternatives for the Esports operations, including a potential sale of the business.”

Mr. Berman continued, “Concurrently, we continue to make progress in our ongoing efforts to invest the cash on our balance sheet to acquire or merge with an existing business. At the end of the first quarter, our cash balance totaled nearly $96 million, including restricted cash.

We remain focused on finding the best opportunity available to maximize value for our shareholders. While we are limited in what we can currently disclose about the process, I look forward to providing the market with an update on our progress at the appropriate time.”

Total costs and expenses for the first quarter of 2022 were $6.2 million, an increase of 15% compared to the first quarter of 2021. Costs and expenses increased primarily due to the increase in in-person expenses due to the recovery of live in-person events.

Net loss for the first quarter of 2022 was $3.8 million compared to a net loss of $3.3 million in the prior year period.

Adjusted EBITDA loss was $2.5 million for the first quarter of 2022 compared to a loss of $3.3 million in the first quarter of 2021.