FaZe Holdings Inc. Announces Fourth Quarter and Full Year 2022 Financial Results

Rhea-AI Summary

FaZe Holdings Inc. (Nasdaq: FAZE) reported a 32% increase in revenue, totaling $70.0 million for the fiscal year ended December 31, 2022. This growth was primarily driven by a 70% rise in brand sponsorship revenue, underscoring the strength of the FaZe brand. CEO Lee Trink acknowledged challenges in 2022 but emphasized a dedicated team focused on sustainable growth into 2023, prioritizing core revenue streams and talent development. The fourth quarter and full year financial results were shared in a Letter to Shareholders, accessible on the company's Investor Relations site, where a live earnings call is scheduled for March 30, 2023.

Positive

• Revenue increased by 32%, reaching $70.0 million for FY 2022.
• Brand sponsorship revenue surged by 70%, indicating brand strength.

Negative

• None.

LOS ANGELES, March 30, 2023 /PRNewswire/ -- FaZe Holdings Inc. (Nasdaq: FAZE), the lifestyle and media platform rooted in gaming and youth culture, today posted its financial results for the fourth quarter and fiscal year ended December 31, 2022 in a Letter to Shareholders. The Letter to Shareholders can be accessed on FaZe's Investor Relations website.

"We reported revenue of $70.0 million in 2022, an increase of 32% and in line with our target for the year. These results were driven by a nearly 70% increase in brand sponsorship revenue, signaling the strength and value of the FaZe brand," said Lee Trink, Chief Executive Officer. "While 2022 was a challenging year, we have a talented and dedicated team committed to our mission and our community. Heading into 2023 we are focused on our core revenue drivers, supporting and growing our talent roster, and establishing a sustainable, profitable foundation for long-term growth."

Earnings Webcast Information
FaZe will host a live webcast today at 2:00 p.m. Pacific Time to discuss the company's fourth quarter and fiscal year financial results. The webcast of the conference call can be accessed as follows:

Event: FaZe Holdings Inc. Fourth Quarter and Full Year 2022 Earnings Call
Date: Thursday, March 30, 2023
Time: 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time)
Live Webcast Site: https://investor.fazeclan.com

An archived webcast of the conference call will be accessible on FaZe's Investor Relations page, https://investor.fazeclan.com.

Forward Looking Statements
The information in this communication includes "forward-looking statements" pursuant to the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of present or historical fact included in this communication, regarding the Company's strategy, future operations and financial performance, estimated financial position, estimated revenue and losses, projections of market opportunity and market share, projected costs, prospects, plans and objectives of management are forward-looking statements. These forward-looking statements generally are identified by the words "budget," "could," "forecast," "future," "might," "outlook," "plan," "possible," "potential," "predict," "project," "seem," "seek," "strive," "would," "should," "may," "believe," "intend," "expect," "will," "continue," "increase," and/or similar expressions that concern strategy, plans or intentions, but the absence of these words does not mean that a statement is not forward-looking. Such statements are based on management's belief or interpretation of information currently available. These forward-looking statements are based on various assumptions, whether or not identified herein, and on the current expectations of management and are not predictions of actual performance. Because forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions, whether or not identified in this communication, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Many factors could cause actual results and conditions (financial or otherwise) to differ materially from those indicated in the forward-looking statements, including but not limited to: the sufficiency of our cash, cash equivalents and investments to meet our liquidity needs; litigation and regulatory proceedings relating to our business, including the ability to adequately protect our intellectual property rights; our limited operating history and uncertain future prospects and rate of growth due to our limited operating history; our ability to continue to monetize our platform; our ability to grow market share in our existing markets or any new markets we may enter; our ability to maintain and grow the strength of our brand reputation; our ability to manage our growth effectively; our ability to retain existing and attract new Esports professionals, content creators and influencers; our success in retaining or recruiting, or changes required in, our officers, directors and other key employees or independent contractors; our ability to maintain and strengthen our community of brand partners, engaged consumers, content creators, influencers and Esports professionals, and the success of our strategic relationships with these and other third parties; risks related to data security and privacy, including the risk of cyber-attacks or other security incidents; our ability to secure future financing, if needed, and our ability to repay any future indebtedness when due; the impact of the regulatory environment in our industry and complexities with compliance related to such environment, including our ability to comply with complex regulatory requirements; our ability to maintain an effective system of internal controls over financial reporting; our ability to respond to general economic conditions, including market interest rates; and other risks identified in Item 1A, "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2022 and our other filings with the SEC.

These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on by any investor as, a guarantee, an assurance, a prediction or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of the Company. Forward-looking statements speak only as of the date they are made. While FaZe may elect to update these forward-looking statements at some point in the future, FaZe specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing FaZe's assessments as of any date subsequent to the date of this communication. Accordingly, undue reliance should not be placed upon the forward-looking statements.

About FaZe Holdings Inc.
FaZe Holdings Inc. (Nasdaq: FAZE) ("FaZe Clan"), is a digital-native lifestyle and media platform rooted in gaming and internet culture, reimagining traditional entertainment for the next generation. Founded in 2010 by a group of kids on the internet, FaZe Clan was created for and by gamers and today operates across multiple verticals with transformative content, tier-one brand partnerships, a collective of notable talent, and fashion and consumer products. Reaching over 500 million followers across social platforms globally, FaZe Clan delivers a wide variety of entertainment spanning video blogs, lifestyle and branded content, gaming highlights and live streams of highly competitive gaming tournaments. FaZe Clan's roster of more than 100 influential personalities consists of engaging content creators, esports professionals, world-class gamers and a mix of talent who go beyond the world of gaming, including NFL star Kyler "FaZe K1" Murray, LeBron "FaZe Bronny" James Jr., Lil Yachty aka "FaZe Boat", Offset aka "FaZe Offset" and Snoop Dogg aka "FaZe Snoop." Its gaming division includes 15 competitive esports teams who have won 38 world championships. The content of any website referenced or hyperlinked in this communication is neither incorporated into, nor part of, this communication. For more information, visit www.fazeclan.com, investor.fazeclan.com and follow FaZe Clan on Twitter, Instagram, YouTube, TikTok, and Twitch.

Contacts
Press: alana.battaglia@fazeclan.com + chelsey.northern@fazeclan.com
Investors: IR@fazeclan.com

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SOURCE FaZe Clan

FAQ

What were FaZe Holdings' revenue figures for 2022?

FaZe Holdings reported revenue of $70.0 million for the fiscal year 2022, marking a 32% increase.

When is FaZe Holdings' earnings call scheduled?

The earnings call for FaZe Holdings is scheduled for March 30, 2023, at 2:00 p.m. Pacific Time.

What drove FaZe Holdings' revenue growth in 2022?

The revenue growth was primarily driven by a 70% increase in brand sponsorship revenue.

What challenges did FaZe Holdings face in 2022?

FaZe Holdings acknowledged that 2022 was a challenging year, but remains focused on long-term growth.