GameSquare's 2025 accounts: US$45 million of revenue and a positive Q4

GameSquare Holdings, the Nasdaq-listed company that owns FaZe Esports, closed 2025 with revenue of US$45.0 million, against US$27.5 million in 2024. The figures come from the results release it filed with the US Securities and Exchange Commission on Wednesday, April 8, 2026, for the fourth quarter and the full year.

The last quarter carried most of the change. Revenue rose 142% to US$18.5 million, and adjusted EBITDA, a measure of operating earnings the company publishes beside its accounts, was positive at US$1.7 million. GameSquare's headline calls it its first positive adjusted EBITDA quarter and presents it as a turn toward operating profitability. The bottom line still showed a loss: US$28.2 million from continuing operations for the quarter, more than a year earlier, a figure that includes charges and changes in value that adjusted EBITDA leaves out.

GameSquare Holdings, fourth-quarter and full-year 2025 results, Form 8-K exhibit of April 8, 2026. Continuing operations, unaudited quarterly figures.

A year that grew quarter by quarter

GameSquare, based in Frisco, Texas, describes itself in the release as a media, entertainment and technology company that helps brands and publishers reach Gen Z, Gen Alpha and Millennial audiences. Its platform combines creative services, analytics and FaZe Esports, and it runs what it calls one of the largest gaming media networks in North America. The release gives no revenue figure for FaZe on its own.

Revenue for the full year was US$44,999,302, against US$27,543,856, a rise of 63.4%. The growth was not spread evenly. The company's release for the third quarter, published on November 13, 2025, put revenue for the first nine months at US$26.5 million, so the fourth quarter alone brought about 41% of the year's sales.

Fourth-quarter revenue was US$18,456,656, against US$7,613,497 a year earlier, and 63.1% more than the US$11.3 million of the third quarter. Management attributes the turn in the quarter to its strategic investments, better profitability across the business and the contribution of Click, a creator marketing business it acquired in 2025. The third-quarter release dates that acquisition to September 11, 2025.

Gross margin, the share of revenue left once the direct cost of delivering it is paid, widened as well. It was 45.9% in the fourth quarter, 20.1 percentage points above the 25.8% of a year earlier, and 43.4% for the year, against 34.3%.

The first positive quarter on the company's own measure

EBITDA stands for earnings before interest, taxes, depreciation and amortization. GameSquare's adjusted version also removes a list of items, among them impairments and changes in the value of investments and warrants, and the release reconciles it line by line with the net result.

On that basis the fourth quarter ended with US$1,731,170, or 9.4% of revenue, against a loss of US$3,050,295 a year earlier, equal to 40.1% of revenue then. In the third quarter of 2025 adjusted EBITDA had still been a loss, of US$604,377, while net income from continuing operations that quarter was positive at US$5.9 million, in a quarter in which the release records more than US$8 million of other income outside the company's operations. Justin Kenna, the chief executive, says in the release that the fourth quarter demonstrates the earnings power and scalability of the company's operating model.

For the full year, adjusted EBITDA remained negative, at a loss of US$4,609,512, or 10.2% of revenue. That is well under half the loss of US$11,887,922 in 2024, when it equaled 43.2% of revenue. The third-quarter release had put the loss for the first nine months of 2025 at US$6.3 million; the positive fourth quarter brings the year to the published total.

Why the bottom line still shows a loss

The release sets out the full year beside 2024.

Gross profit more than doubled, from US$9.5 million to US$19.5 million, while operating expenses rose by less than US$1 million. The loss from operations narrowed by about US$9.1 million.

The fourth quarter alone looks different. Its net loss from continuing operations was US$28,184,394, against US$19,528,280 a year earlier. The release's reconciliation lists the largest items in it: a US$12.1 million impairment, the accounting write-down of an asset whose value is judged to have fallen; a US$1.9 million loss on non-consolidated investments, stakes the company holds without controlling the businesses; and a US$20.3 million loss on the fair value of digital assets and a related fund. A US$7.4 million gain on the warrant liability, the change in value of rights to buy GameSquare shares that the company had issued, offset part of it.

Counting discontinued operations, the businesses the company has sold or closed, the total net loss was US$31.1 million for the quarter and US$42.1 million for the year, against US$54.3 million in 2024. The full-year net loss from continuing operations fell to US$30.0 million from US$34.8 million.

Pro forma: TubeBuddy and Click

The release also shows pro forma results, which recalculate the figures as if acquisitions had been part of the group for a whole period. They are unaudited and presented apart from the reported numbers.

The fourth quarter on that basis includes TubeBuddy, a software service for YouTube creators that GameSquare agreed to buy from BENlabs on February 20, 2026 and closed in the first quarter. Pro forma revenue was US$20.7 million, gross margin 50.3% and adjusted EBITDA US$2.3 million, or 11.2% of revenue. The company describes TubeBuddy as an AI-enabled software and workflow platform aimed at the performance and audience growth of YouTube channels, and estimates that it has helped more than 10 million creators.

For the full year, the pro forma figures add TubeBuddy for all of 2025 and Click for the period from January 1 to September 11, 2025, before its acquisition. Revenue reaches US$66.6 million, gross margin 49.0%, and adjusted EBITDA is a loss of US$0.4 million. The pro forma net loss from continuing operations is US$26.8 million.

The balance sheet at year end

GameSquare held US$4.6 million in cash on December 31, 2025, plus US$1.8 million of restricted cash, money set aside that it cannot spend freely. A year earlier it had US$12.1 million in cash. At the end of September 2025, the third-quarter release showed US$6.0 million.

The structure of the balance sheet changed over the year. Total liabilities fell to US$43.6 million from US$66.7 million, and shareholders' equity, what would be left for owners once all debts were paid, rose to US$35.7 million from US$12.0 million. The convertible debt of US$16.4 million and the line of credit of US$3.5 million shown at the end of 2024 no longer appear; current promissory notes, a form of short-term borrowing, stood at US$2.0 million. Total assets were US$79.3 million, close to the US$78.7 million of a year earlier.

The number of shares grew threefold, to 98,066,751 at the end of 2025 from 32,635,995. The company has also been buying back its own shares since October 2025: 2,990,000 in the fourth quarter for US$1.7 million, and 5,060,000 in all through March 6, 2026, for US$2.5 million.

Where FaZe sits in the group

FaZe Esports appears in the release as one part of the platform, beside creative services and analytics. The release does not attribute any of the growth to it, and it gives no separate figure for the esports organization, its teams or its sponsorships.

FaZe Clan joined the group in 2024. On March 1 of that year, with the FaZe acquisition weeks from completion, HLTV reported that GameSquare had sold another organization it owned, Complexity, to an investor group led by Complexity's founder for US$10.36 million, most of it payable over three years. The reason HLTV gave was a rule of competition: under Valve's Major rulebook and ESL's rules, one owner may not control two teams that play in the same Counter-Strike events.

On the Counter-Strike side, FaZe started 2026 with few wins. On March 16, 2026, FaZe parted ways with its head coach, NEO, after nearly three years, and named its analyst GruBy interim head coach, HLTV reported. The team was then 11th in HLTV's world ranking, with a record of three series won and nine lost in 2026 and a group-stage exit at every tournament of the year. On April 6, Valve's Regional Standings, the ranking used to send the invitations to the IEM Cologne Major, placed FaZe 26th, outside the field of the Major. None of this appears as a line in the accounts.

What comes next

The company reiterated its outlook for 2026, given on a pro forma basis as if TubeBuddy had been acquired on January 1, 2026: revenue of US$85 million to US$90 million, gross margin of 35% to 40%, and adjusted EBITDA above US$5 million. The release gives no reconciliation of that EBITDA target to net income, citing the uncertainty of forward-looking items, and says it excludes transaction costs, impairments and other one-time items.

Kenna says in the release that he expects 2026 to bring strong revenue growth and profitable adjusted EBITDA for the full year. He and the chief financial officer, Mike Munoz, were due to present the figures on a conference call at 5:00 pm Eastern time on April 8. The first quarter of 2026, in which the TubeBuddy purchase closed, is the next set of results the company will publish.

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