Latest news with #HichamChahine
Fox News
6 days ago
- Entertainment
- Fox News
Nintendo Switch 2, Summer Games Fest, Madden 26 Cover
The latest gaming news, including Nintendo Switch 2 , Cyberpunk 2077 sequel production, Summer Games Fest previews, and Madden NFL 26's cover athlete. Plus, hear from Ninjas in Pyjamas CEO Hicham Chahine on their esports expansion and Wall Street journey. Learn more about your ad choices. Visit
South China Morning Post
18-05-2025
- Business
- South China Morning Post
Chinese esports giant NIP eyes global expansion with Abu Dhabi expansion
As Chinese esports giant NIP Group plans to establish a global headquarters in the Middle East, co-founder Hicham Chahine is considering how to capitalise on opportunities in vastly different video gaming markets. Advertisement 'The West is very accustomed to PCs, consoles,' Chahine told the Post in an interview on May 14. 'In China, gaming is a mobile phenomenon, led by companies like Tencent and NetEase.' For Chahine, the existence of super apps such as WeChat, owned by video gaming behemoth Tencent Holdings , means distribution in China is less complicated than in other markets. 'In China, we see the emergence of super apps that consolidate many services into one place,' Chahine said. 'In contrast, the West is more fragmented, with gaming spread across PCs, consoles, Instagram, Facebook, and various other platforms.' 'Overall, China is much more developed and consolidated, while the West is more fragmented regarding these core themes,' he added. Advertisement Established after the merger of Sweden's Ninjas in Pyjamas and China's ESV5 in 2021, with co-founder Mario Ho Yau-kwan, NIP is best known for its professional teams in the video games Counter-Strike and League of Legends. Last year, it listed on the Nasdaq, becoming China's first esports stock. NIP is now seeking new growth opportunities in untapped markets as it grapples with slow growth.
Associated Press
30-04-2025
- Business
- Associated Press
NIP Group Inc. Reports Second Half and Full Year 2024 Unaudited Financial Results
ABU DHABI, United Arab Emirates, April 30, 2025 (GLOBE NEWSWIRE) -- NIP Group Inc. ('NIPG' or the 'Company') (NASDAQ: NIPG), a leading digital entertainment company, today announced its unaudited financial results for the second half and full year of 2024. Second Half of 2024 Financial and Operational Highlights Full Year of 2024 Financial and Operational Highlights Business Updates Mario Ho, Chairman and Co-CEO of NIP Group, commented, '2024 tested the entire industry. Despite this challenging backdrop, we maintained modest top‑line growth in the second half and for the full year, highlighting the resilience of our model. As we continue to integrate our businesses and diversify our revenue streams, event production has become a compelling growth engine, with revenues surging 92.6% year-over-year in the second half of the year and more than doubling for the full year. We are transitioning from a pure esports organization into a fully integrated gaming‑centric digital entertainment platform. Looking ahead, we plan to expand our three core businesses, while also introducing new games and entering the hospitality market, opening our first S-tier integrated gaming entertainment complex. With our growth initiatives in place, including our expansion in the Middle East with new strategic funding from ADIO, the Guangxi government, and the Esports World Cup Foundation, we are well positioned to drive sustainable growth in 2025 and beyond.' Hicham Chahine, Co-CEO of NIP Group, commented, 'Our entry into the Middle East is central to our geographic expansion and revenue diversification strategy, marking a once‑in‑a‑generation opportunity for gaming and esports. We now have global headquarters in Abu Dhabi and a landmark partnership with the Abu Dhabi Investment Office that will accelerate our growth across our gaming ecosystem. Separately, we are receiving valuable support from the Abu Dhabi Department of Culture and Tourism, including payroll subsidies as well as subsidized office and production facilities. By anchoring our strategic initiatives in Abu Dhabi, we are tapping into a vibrant, youthful market that is quickly emerging as the newest global gaming hub. With resources on the ground and our years of experience, we can empower local talent, foster grassroots ecosystems, and continue expanding our integrated platform that now spans esports teams, arenas & events, content & influencer networks, game publishing and hospitality. With our robust base in Abu Dhabi, we are laying the foundation for harnessing growth opportunities on a global stage. I'm confident that this region will drive our next wave of growth and cement NIP Group's position as a global leader in digital entertainment.' Ben Li, CFO of NIP Group, added, 'In the second half of 2024, our revenues reached US$45.9 million despite headwinds in esports sponsorships and advertising that impacted both our top line and margins. Our Talent Management arm remained largely stable while our Event Production segment continued to accelerate. We also incurred higher expenses during the period associated with our IPO and our entry into the game publishing space. Moving forward, these initiatives will support our strategic growth with a more diverse revenue mix and more integrated operations, combined with strategic funding partnerships that strengthen our foundation. We remain focused on generating long‑term shareholder value.' Second Half of 2024 Financial Results Total net revenues Total net revenues were US$45.9 million for the second half of 2024, a year-over-year increase of 1.8% from US$45.1 million in the same period of 2023. The following table sets forth a breakdown of the Company's net revenues by business segments for the period indicated. Cost of revenues Cost of revenues for the second half of 2024 was US$45.3 million, compared to US$40.2 million in the same period of 2023. The following table sets forth a breakdown of the Company's cost of revenues by business segments for the periods indicated. Gross profit Gross profit for the second half of 2024 was US$0.6 million, compared with US$4.9 million in the same period of 2023. Gross margin for the second half of 2024 was 1.4%, compared with 10.9% in the same period of 2023. The decrease in gross profit margin was mainly attributable to the decline in esports teams operation revenues. Selling and Marketing Expenses Selling and marketing expenses for the second half of 2024 were US$5.3 million, representing an increase of 92.7% from US$2.8 million in the same period of 2023. This was mainly attributable to an increase in marketing and promotion expenses for the game publishing business. General and Administrative Expenses General and administrative expenses for the second half of 2024 increased by 58.2% to US$7.1 million, from US$4.5 million in the same period of 2023. The increase was primarily due to an increase in professional service fees in relation to the initial public offering. Other income for the second half of 2024 was US$2.3 million, compared with other loss of US$0.03 million in the same period of 2023. The increase was primarily due to a one-off waiver of tournament league seat fee of US$0.9 million. Net loss for the second half of 2024 was US$8.0 million, compared with net loss of US$2.0 million in the same period of 2023. Adjusted EBITDA, which is calculated as net loss excluding interest expense, net, income tax (benefit) expense, depreciation and amortization, share-based compensation expenses and change in fair value of acquisition contingent consideration, was negative US$7.3 million for the second half of 2024, compared with US$1.0 million in the same period of 2023. Full Year of 2024 Financial Results Total net revenues Total net revenues were US$85.3 million for the full year of 2024, a year-over-year increase of 1.9% from US$83.7 million in 2023. The following table sets forth a breakdown of the Company's net revenues by business segments for the period indicated. Cost of revenues Cost of revenues for the full year of 2024 was US$82.3 million, compared to US$76.5 million in 2023. The following table sets forth a breakdown of the Company's cost of revenues by business segments for the periods indicated. Gross profit Gross profit for the full year of 2024 was US$3.0 million, compared with US$7.2 million in 2023. Gross margin for the full year of 2024 was 3.5%, compared with 8.6% in 2023. The decrease in gross profit margin was mainly attributable to decline in esports teams operation revenues. Selling and Marketing Expenses Selling and marketing expenses for the full year of 2024 were US$8.1 million, representing an increase of 23.6% from US$6.6 million in 2023. This was mainly attributable to an increase in marketing and promotion expenses for the game publishing business. General and Administrative Expenses General and administrative expenses for the full year of 2024 decreased by 22.9% to US$11.8 million, from US$15.3 million in 2023. The decrease was primarily due to a decline in share-based compensation expenses, as the shares under the Company's share incentive plans were fully vested in the first half of 2023. Other income for the full year of 2024 was US$1.8 million, compared with other income of US$0.2 million in 2023. The increase was primarily due to a one-off waiver of tournament league seat fee of US$0.9 million. Net loss for the full year of 2024 was US$12.7 million, compared with a net loss of US$13.3 million in 2023. Adjusted EBITDA, which is calculated as net loss excluding interest expense, net, income tax (benefit) expense, depreciation and amortization, share-based compensation expenses and change in fair value of acquisition contingent consideration, was negative US$9.9 million for the full year of 2024, compared with negative US$1.7 million in 2023. Cash and cash equivalents As of December 31, 2024, the Company had cash and cash equivalents of US$9.6 million, compared with US$7.6 million as of December 31, 2023. Use of Non-GAAP Financial Measures Adjusted EBITDA is calculated as net loss excluding interest expense, net, income tax (benefit) expense, depreciation and amortization, share-based compensation expense and change in fair value of acquisition contingent consideration. The non-GAAP financial measure is presented to enhance investors' overall understanding of financial performance and should not be considered a substitute for, or superior to, the financial information prepared and presented in accordance with U.S. GAAP. Investors are encouraged to review the reconciliation of the historical non-GAAP financial measure to the most directly comparable GAAP financial measure. As non-GAAP financial measure has material limitations as an analytical metric and may not be calculated in the same manner by all companies, it may not be comparable to other similarly titled measures used by other companies. In light of the foregoing limitations, you should not consider non-GAAP financial measure as a substitute for, or superior to, such metrics prepared in accordance with GAAP. The following table sets forth a breakdown of non-GAAP financial measures of the company for the periods indicated. Notes: (1) Primarily consists of depreciation related to property and equipment, as well as amortization related to intangible assets (2) Adjusted EBITDA as a percentage of revenues. Exchange Rate Information The functional currency of the company's PRC subsidiaries is RMB, which is the local currency used by the subsidiaries to determine financial position and operation result. The functional currency of Ninjas in Pyjamas is SEK, which is the local currency used by the subsidiary to determine financial position and operation result. The Group's financial statements are reported using U.S. Dollars ('$'). The results of operations and the consolidated statements of cash flows denominated in functional currency is translated at the average rate of exchange during the reporting period. Assets and liabilities denominated in functional currencies at the balance sheet date are translated at the applicable rates of exchange in effect at that date. The equity denominated in the functional currency is translated at the historical rate of exchange at the time of capital contribution. Because cash flows are translated based on the average translation rate, amounts related to assets and liabilities reported on the consolidated statements of cash flows will not necessarily agree with changes in the corresponding balances on the consolidated balance sheets. Translation adjustments arising from the use of different exchange rates from period to period are included as a separate component of accumulated other comprehensive income (loss) included in consolidated statements of changes in equity (deficit). Gains or losses from foreign currency transactions are included in the results of operations. The following table outlines the currency exchange rates published by the Federal Reserve Board were used in unaudited condensed consolidated financial statements: Recent Developments Conference Call The Company's management team will hold a conference call at 7:00 A.M. U.S. Eastern Time on Wednesday, April 30, 2025 (3:00 P.M. Abu Dhabi Time on the same day) to discuss the financial results. Details for the conference call are as follows: All participants must use the link provided above to complete the online registration process prior to the conference call. Upon registering, each participant will receive a set of participant dial-in numbers and a unique access PIN, which can be used to join the conference call. A live and archived webcast of the conference call will be available at the Company's investor relations website at About NIP Group NIP Group (NASDAQ: NIPG) is a global digital entertainment company driving the evolution of gaming and esports. With a diversified ecosystem spanning esports teams, arenas and events, content and influencer networks, game publishing, and hospitality, we engage hundreds of millions of fans and create immersive entertainment experiences. Operating across Europe, the Middle East, Asia, and the Americas, we collaborate with leading gaming companies to push the boundaries of interactive entertainment and bring gaming to new audiences worldwide. Safe Harbor Statements This press release contains statements that constitute 'forward-looking' statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as 'will,' 'expects,' 'anticipates,' 'aims,' 'future,' 'intends,' 'plans,' 'believes,' 'estimates,' 'likely to' or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Among other things, the business outlook and quotations from management in this press release, as well as NIP Group's strategic and operational plans, contain forward-looking statements. NIP Group may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the 'SEC'), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. All statements that are not historical or current facts, including but not limited to statements about NIP Group's beliefs, plans and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: NIP Group's growth strategies; its future business development, results of operations and financial condition; its ability to maintain and enhance the recognition and reputation of its brand; developments in the relevant governmental laws, regulations, policies toward NIP Group's industry; and general economic and business conditions globally and in the countries or regions where NIP Group has operations; and assumptions underlying or related to any of the foregoing. These statements are based on various assumptions, whether identified in this press release, and on the current expectations of NIP Group's management and are not predictions of actual performance. NIP Group cannot assure you that the forward-looking statements in this press release will prove to be accurate. These forward-looking statements are subject to a number of risks and uncertainties. Further information regarding these and other risks is included in NIP Group's filings with the SEC. There may be additional risks that NIP Group does not presently know or that NIP Group currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. In light of the significant uncertainties in these forward-looking statements, nothing in this press release should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. The forward-looking statements in this press release represent the views of NIP Group as of the date of this press release. Subsequent events and developments may cause those views to change. However, while NIP Group may update these forward-looking statements in the future, there is no current intention to do so, except to the extent required by applicable law. You should, therefore, not rely on these forward-looking statements as representing the views of NIP Group as of any date subsequent to the date of this press release. Except as may be required by law, NIP Group does not undertake any duty to update these forward-looking statements. For investor and media inquiries, please contact: NIP Group Inc. Investor Relations: [email protected] Public Relations: [email protected]
