Motorsport Games falls on dour Q3 results

Motorsport Games

18/11/2022 21:39

** Shares of game developer Motorsport Games  MSGM.O  down
9.3% at $5.00 in extended trading after co misses Q3 estimates
for revenue and reports a wider net loss
    ** Reports revenue of $1.2 mln vs prev year's $2.1 mln and
analysts' expectations of $3.2 mln - Refinitiv
    ** Says rev drop reflects lower digital game sales and less
favorable pricing
    ** MSGM reports net loss of $7.29 per share vs last year's
$5.64 and estimates of $5.00
    ** Co attributes this to increase in foreign currency
losses, interest rates among other factors
    ** MSGM also says by "implementing 2022 restructuring
program, it expects to eliminate approximately 20% of its
overhead costs worldwide" 
    ** Adds it expects to deliver about $4 million of total
annualized cost reductions by end of 2023
    ** Up to Friday's close, stock had fallen ~84% this year
 (Reporting by Granth Vanaik in Bengaluru)
 ((Granth.Vanaik@thomsonreuters.com;))