Enthusiast Gaming(NASDAQ:
EGLX) hasjumped 20.4%to its highest point in more than a month after putting out
preliminary Q4 figuresthat pointed to more record visitor traffic, and record revenues.
The company - which runs a media platform to connect videogame/esports fans - expects fourth-quarter revenues of $56.9 million, up 34% year-over-year and well over consensus for $41 million. Of that, direct sales are expected to come in at $8.8 million, up 167%.
It sees gross profit at $13.7 million (up 69%), and gross margin up 500 basis points to 24.1%.
Meanwhile, traffic reached an all-time high of 51.8 million U.S. unique visitors in December. Paid subscribers at year-end are expected to land at 220,000, up 80% from the prior year.
Cash balance is forecast at $22.7 million as of Dec. 31, up from the prior year's $4.3 million.
"We expect to have generated record quarterly revenues in the fourth quarter of 2021, led by our continued strength in direct sales, our ability to acquire and integrate assets such as Addicting Games and U.GG, our ability to attract and retain paying subscribers, and ultimately our flywheel of communities, creators, content, and experiences," says CEO Adrian Montgomery.