Ongoing expansion costs push theScore to loss in Q1
Canadian media business theScore posted a comprehensive loss of $4.1m (£3.1m/€3.7m) during the first quarter of its financial year, primarily due to costs related to its ongoing expansion efforts across North America.
Revenue for the three months to November 30, 2019, amounted to $9.2m, down 3.2% from $9.5m in the corresponding period in the previous year.
theScore reported an increase in direct advertising revenue in the first quarter, but also said this was offset by a decline in programmatic revenue.
This was a result of lower demand from a programmatic partner that, prior to January 2019, was a significant buyer of its programmatic inventory. theScore also noted a more limited programmatic inventory in New Jersey and various surrounding states, related to the launch of theScore Bet app in Q1.
In terms of the performance of theScore Bet, this area of the business generated a handle of $8.8m and gross gaming revenue of $242,000. However, when taking into account promotional costs and fair value adjustments on unsettled bets, this saw the brand lose $26,000 in the quarter.