David Beckham’s eSports venture, Guild Esports PLC, is facing a significant shortfall of £1.4 million in funds by the close of September, with an existing cash balance of only £25,000. However, the company has accounts receivable of £1.52 million. As a “global gaming-focused media business,” the company has announced it is “actively exploring a range of options to allow the company to meet its short-term liabilities,” including seeking additional funding, renegotiating payment terms with creditors and implementing cost-reduction initiatives to preserve cash reserves. Furthermore, the board is in the process of reviewing the company’s strategic direction, potentially including the sale of assets or incorporation into a larger group.
In H1 2024, Guild Esports decreased its loss before tax by 21% to £1.8 million and recently qualified for the Esports World Cup. However, earnings and gross profit for the period between October 1st, 2023, and March 31st, 2024, fell to £2.1 million and £1.39 million, respectively. Guild Esports currently operates teams in nine gaming categories, including Apex Legends and Fortnite. Recently, an investor in Dubai acquired 8.28% of Guild Esports’ voting shares.
