Mr. Konrad Wasiela reports

ESE ENTERTAINMENT ANNOUNCES 2023 AUDITED FINANCIAL RESULTS WITH NOTABLE STRATEGIC ACHIEVEMENTS

ESE Entertainment Inc. has filed its audited annual consolidated financial statements and related management's discussion and analysis for the 12 months ended Oct. 31, 2023, the highlights of which are presented in this news release. The financial statements and MD&A are available under the company's profile on SEDAR+ and on the company's website.

Financial highlights:

• Achieved nearly break-even results in fourth quarter 2023 with earnings per share of nil compared with Q4 2022 earnings per share of negative 23 cents;
• Annual consolidated revenue in fiscal 2023 of $19.1-million (not including GameAddik asset), reflecting the strategic realignment of business operations;
• GameAddik asset reporting $19.47-million in revenue and $5.38-million in gross profit in fiscal 2023, affirming the strategic value of ESE Entertainment's continuing 30-per-cent ownership position;
• Total assets: While adjusting to strategic shifts, total assets were reported at $9.1-million as of Oct. 31, 2023.

"We are proud of our team's achievements in [fiscal] 2023, especially our improvement in bottom line, a testament to our strategic initiatives and operational enhancements. In the 2024 year, the team has a continued focus and profitability," said Konrad Wasiela, chief executive officer of ESE Entertainment.

"In addition, I want to highlight the success of GameAddik and its $19.47-million in revenue with over $5-million gross profit. ESE's 30-per-cent stake in GameAddik is continuing to create value for ESE shareholders, and we are excited to continue building GameAddik alongside our partnership with BlackPines Capital.

"Our team is all in on the business for 2024, and we have a plan to release exciting news and company highlights in the coming weeks. Further, an improvement in market conditions presents us with opportunities that we're prepared to take advantage of. Our focus will be on leveraging these positive trends to execute our goals and deliver shareholder value," continued Mr. Wasiela.

2023 operational highlights:

• On Oct. 10, 2023, ESE Entertainment announced that it had produced 23 days of national TV broadcasts for the Riot Games, League of Legends tournament: worlds 2023. ESE Entertainment was responsible for selecting commentators, television production and broadcasts of the matches.
• On Aug. 16, 2023, ESE Entertainment announced that it had completed the sale of 70 per cent of its ownership in GameAddik in an all-cash transaction for $9.1-million, retaining a strategic 30-per-cent interest.
• On Aug. 8, 2023, ESE Entertainment announced that it signed a three-year partnership with the Silverstone Museum, an interactive motorsports visitor attraction located at the entrance to the world-famous Silverstone Circuit in Northamptonshire, United Kingdom.
• On July 6, 2023, ESE Entertainment announced that it had signed a partnership with Kia Poland, a leading automative company, as an official sponsor of the Ultraliga Esports Tournament.
• On July 4, 2023, ESE Entertainment announced that it had signed a partnership with Samsung, a leading electronics company, as the title partner of the Ultraliga Esports Tournament.
• On May 16, 2023, ESE Entertainment announced that it had produced 18 days of broadcast for the LEC 2023 spring season, garnering three million views and 1.2 million hours watched.
• On April 18, 2023, ESE Entertainment announced the successful production of live e-sports events for the Ultraliga (League of Legends) and PKO BP Ekstraklasa Games (Electronic Arts) final.
• On Feb. 6, 2023, ESE Entertainment announced that it entered into a strategic partnership with Poznan Game Arena and Metapro to organize the first ever Web3 Game Arena.

The financial and operating results included in this news release are based on the audited results, which were released on March 28, 2024. It is only in the context of the fulsome information and disclosures contained in the financial statements and management's discussion and analysis that an investor can properly analyze this information. The financial statements and MD&A will be published under the company's profile on SEDAR+.

About ESE Entertainment Inc.

ESE Entertainment is a global technology company focused on gaming and e-sports. The company provides a range of services to leading video game developers, publishers and brands by providing technology, infrastructure and fan engagement services internationally. ESE Entertainment also operates its own e-commerce channels, e-sports teams and gaming leagues.

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