After deducting sales costs of CAD$66,960, our net revenue for the quarter resulted in a loss of CAD$59,722, which is a decrease from CAD$53,654 in 2020. Expenses for the quarter were CAD$1.9m, showing a significant increase of 171.4% compared to the previous year.
The largest expense for the quarter was consulting fees at CAD$407,134, followed by CAD$381,645 for salaries and director fees, and CAD$358,849 for share-based compensation. Legal fees amounted to CAD$278,643, administrative costs were CAD$201,878, and advertising and marketing expenses totaled CAD$142,253. Additionally, there were other expenses of CAD$32,181. As a result, the net losses before tax for the quarter amounted to CAD$1.9m.
Taking into account income tax expenses of CAD$4,572, the net losses for the quarter reached CAD$1.92m, indicating an increase of 137.5%.
Luckbox CEO Thomas Rosander expressed optimism regarding the company’s Q3 results, as they provide a solid foundation for the upcoming launch of a casino product in Q4. Rosander emphasized the team’s focus on improving their proprietary platform by building a superior business intelligence infrastructure and creating a modern user experience tailored to the next generation of bettors. Furthermore, ensuring extensive coverage of esports betting opportunities has been a priority.
Regarding the addition of a casino, Rosander stated, “I am delighted to say our efforts during Q3 have paved the way for the addition of casino, which is an important anticipated near-term revenue driver that we expect to be live in Q4. As a result, we will be able to launch our player acquisition efforts in Q1 2022 by initiating meaningful marketing for the first time in the company’s history.”
Another noteworthy highlight of Q3 was the appointment of David Conde as the head of data at Luckbox. Additionally, during the quarter, the company secured a sports betting partnership with BtoBet, a sportsbook provider owned by Aspire Global.
