Greetings. And welcome to Allied Gaming & Entertainment, Inc. Fourth Quarter and Full Year 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Tyler Drew, with Addo Investor Relations. Thank you. You may begin.

Thank you, Operator. Good afternoon. And welcome to the Allied Gaming & Entertainment 2022 fourth quarter and full year results conference call. Speaking on the call today are Allied Gaming & Entertainment’s Chief Executive Officer, Yinghua Chen; and Chief Financial Officer, Roy Anderson. Before I turn the call over to management, please note that our prepared remarks may contain forward-looking statements. Words such as may, will, expect, intend, plan, believe, seek, could, estimate, judgment, targeting, should, anticipate, goal and variations of these words and similar expressions are intended to identify forward-looking statements. Actual results could differ materially from those implied by such forward-looking statements due to a variety of factors discussed in the company’s public filings, including the risk factors discussed in documents filed with the Securities and Exchange Commission. Although the company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be attained. The company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. In addition, certain of the financial information presented in this call represents non-GAAP financial measures. The company’s earnings release, which was issued this afternoon and is available on the company’s website, presents definitions of such non-GAAP financial measures, reconciliations to the appropriate GAAP measures and an explanation of why the company believes such non-GAAP measures are useful to investors. With that, it is now my pleasure to turn the call over to Allied Gaming & Entertainment CEO, Yinghua Chen. Yinghua?

Thank you, Tyler, and thank you everyone for joining us this afternoon. It is with great pleasure that I address you today to share the positive momentum we experienced at Allied in 2022, which has carried forward into 2023. I would like to begin by briefly touching upon our recent announcement made in December regarding the company’s restructuring plan. As you may know, we spent a significant portion of last year conducting a thorough strategic review process, which was overseen by the company’s Board of Directors, with the support of The Benchmark Company, our financial advisers on potential business acquisition. After considering a wide range of options, the Board concluded that the best way to maximize shareholders’ value was to restructure our Esports business operations and expand our focus to include a wider variety of gaming and entertainment products. In line with this shift in strategy, we were also excited to unveil our new corporate rebranding, Allied Gaming & Entertainment, Inc., which better fits with our new and increased scope of products and services. To gain a better view of the rebrand, I encourage you to visit our new website at alliedgaming.gg. We are very confident in our current trajectory, especially within the entertainment industry, where gaming has emerged as one of the largest and fastest-growing markets. With a staggering 3.1 billion gamers worldwide in 2021, the global gaming industry was valued at $202 billion and is projected to grow at a compound annual growth rate of 10.2% between 2022 and 2030, driven primarily by mobile gaming and Esports. With more than five years of strategic investments in the Esports and entertainment space, Allied is ideally positioned to help brands reach these consumers and capture a good portion of the disposable income of Gen Z, a cohort with more than…

Thank you, Yinghua. Good afternoon, everyone, and thank you for joining us today. Our full year 2022 results highlight our momentum throughout the year as demand for our tournaments and production services continued to improve and we further expanded our service offerings. Total revenues for the year were $6.4 million, up $1.4 million or 28% from 2021. The increase was primarily driven by growth in our in-person pillar, including a sponsorship agreement with Progressive Insurance and Tyson Foods for Season 1 of Elevated, an increase in live events at our HyperX Arena and an increase in our U.S. Esports Truck operations. On a quarterly basis, revenues for the fourth quarter were $1.2 million, down from $1.9 million in the prior year. The decrease was primarily driven by the non-recurring nature of our 2021 live streaming partnership with Trovo. Turning to expenses. In 2022, operating costs and expenses of $18.1 million were down $2.6 million or 13% from $20.7 million in 2021. The decrease was primarily due to one-time bonuses and professional fees related to our 2021 sale of the World Poker Tour, a decrease in depreciation and amortization expense and a decrease in cash and stock-based compensation expense. These decreases were partially offset by higher expenses in our in-person pillar due to the strong post-pandemic recovery of our live events. For the fourth quarter, total cost and expenses of $3.8 million were down $1.9 million or 33% from $5.7 million in 2021. The decrease was primarily due to a decline in corporate professional fees and compensation expense at our Las Vegas Arena and within our European operations. Our loss from continuing operations was $10.8 million in 2022, down from $15.1 million in 2021, which was driven by both the aforementioned increase in revenues and the reduction in costs and expenses.…

Thank you, Roy. We have a clear strategy moving forward and are excited about the trajectory and future of Allied Gaming & Entertainment. The overall gaming and entertainment industry is undergoing rapid expansion and companies are eager to reach this massive market. We are confident that building upon Allied’s original focus of live events and our multi-platform content, while adding new revenue drivers, such as, virtual entertainment events and online gaming tournaments will drive future positive financial results. Thank you for your time today. We look forward to speaking with you again in May when we report our first quarter 2023 results.

Ladies and gentlemen, this does conclude today’s teleconference. Thank you for your participation. You may disconnect your lines at this time and have a wonderful day.