SharpLink Gaming has published its financial and business results for the end of 2023. Total revenue, along with gross profit rose significantly during the year.
SharpLink posted 42% growth in its total revenue from continuing operations. Revenue by the end of the year reached nearly $5m.
The company reported revenue gains in its affiliate marketing services, with the largest annual increase in its US segment.
Revenue from its US affiliate climbed by 1112% to reach $754,446. The company’s international segment reported a 22% rise in revenue for the year.
Gross profit across the board grew by 17% last year to total $1.5m. However, its gross profit margin declined from 38% to 31%. SharpLink attributed this decrease to “higher marketing costs associated with engagement of Search Engine Optimization and programmatic advertising campaigns used to drive traffic to our direct-to-player sites in the US.”
The company also reported a net loss of $11.2m for the year.
SharpLink recently sold RSports Interactive all its issued and outstanding shares of common stock and membership interests for $22.5m. The equity sale included the company’s Sports Gaming Client Services and SportsHub Gaming Network business segments as part of an all-cash transaction.
Chairman and CEO Rob Phythian further discussed sale and the company’s current financial state by saying, “With the completion of the sale of our free-to-play sports games development and fantasy sports businesses in January 2024, followed shortly thereafter by the completion of our domestication merger in February 2024, SharpLink is now in a much better financial position and free to concentrate on growth opportunities that will allow us to make progress towards our long-term goal of creating enduring shareholder value.”
