Golden Matrix Group Inc. Reports Strong Q3 2024 Earnings and Continued Operational Growth

Year-to-Date Revenue up 55% to $105.3 Million

Company's Classics for a Cause Acquisition Successfully Integrated

LAS VEGAS, Nov. 12, 2024 (GLOBE NEWSWIRE) -- Golden Matrix Group Inc. $(GMGI)$ ("Golden Matrix" or the "Company"), a global developer, licensor, and operator of online gaming platforms, today announced strong financial and operational results for the third quarter ended September 30, 2024. The results reflect the Company's robust growth strategy and expansion efforts across key markets, including the successful acquisition and integration of Classics for a Cause.

Brian Goodman, CEO of Golden Matrix, commented, "Golden Matrix's Q3 performance demonstrates our commitment and success in building sustainable, long-term growth and strengthening our industry position. Once again, we have delivered strong results across our divisions, supported by strategic acquisitions, platform upgrades, and the expansion of our iGaming portfolio."

Financial Highlights

   -- Revenue Growth: Q3 2024 consolidated revenue increased by 85% to $41 
      million, with year-to-date revenue up 55% to $105.3 million, driven by 
      consistent performance across key markets. 
 
   -- Gross Profit Increase: Gross profit grew 39% in Q3 to $22.4 million, with 
      year-to-date gross profit rising 24% to $61.8 million, reflecting 
      improvements in operational efficiency and product margins. 
 
   -- AEBITDA: Adjusted EBITDA for Q3 reached $4.3 million, reflecting 
      resilient performance across multiple revenue channels with marginal 
      impacts from currency fluctuations across subsidiaries. 
 
   -- Balance Sheet Strength: As of September 30, 2024, Golden Matrix 
      maintained a robust financial position with over $38.4 million in cash 
      and equivalents and short-term debt of $17.5 million. Shareholder equity 
      also grew 60% to $94 million, reinforcing the Company's ability to pursue 
      strategic growth initiatives. 

Operational Highlights

Golden Matrix achieved significant milestones during Q3 2024, including:

   -- Meridianbet Strong Growth Continues: Meridianbet's Q3 revenue grew 16% 
      YoY, led by a 19% online increase and 6% in retail. Deposits rose to 
      $61.9M (+13% QoQ), with new registrations up 23% to 125K. Online casino 
      GGR margin hit 3.37% (+21% turnover), sports betting rose 7.4% YoY with 
      GGR at 9.5%, retail sports GGR at 10.3% (record 14.1% in August), and 
      retail slots up 17.5% YoY. 
 
   -- Expansion of GMAG Platform: The GMAG B2B aggregator platform saw 
      substantial growth, with wagering volume increasing 84% to $1.4 billion. 
      Enhanced customer retention tools and the addition of high-margin games 
      have driven engagement and profitability. 
 
   -- Classics for a Cause Acquisition: This newly acquired Australian business 
      added $2.1 million in revenue and $503,000 in EBITDA within two months, 
      expanding Golden Matrix's market reach and contributing to overall 
      profitability. 
 
   -- Mexplay Growth: Mexplay, the Company's online casino in Mexico, reported 
      a 56% increase in active players and a rise in gross gaming revenue to 
      $15 million, underscoring growth potential in Latin America. 

Zoran Milosevic, CEO of Meridianbet, also commented: "We achieved some remarkable milestones, with our strategic acquisitions now fully integrated and our ground-breaking 5th generation platform setting a new benchmark in the global betting and iGaming industry. Our global operations are delivering exceptional synergies and efficiencies, setting us up for unprecedented growth. All indicators point to FY2024 being a landmark year for performance."

For additional information on Golden Matrix's financial performance, please refer to the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2024, which has been filed with the SEC today and is available at https://www.nasdaq.com/market-activity/stocks/gmgi/sec-filings or www.sec.gov.

* Adjusted EBITDA is a non-GAAP financial measure. See also "Non-GAAP Financial Measures" and "Reconciliation of Net Income to Adjusted Earnings excluding Interest Expense, Interest Income, Tax, Depreciation Expense, Amortization Expense, Stock-based Compensation Expense and Restructuring Costs", included in the tables at the end of this release.

In terms of GAAP accounting and Meridianbet being the accounting acquirer, the comparisons presented are correctly stated and are reflective of our new structure. Comparisons presented in terms of GAAP are the consolidated Company's results against Meridianbet Group historical results and not against Golden Matrix Group's historical results.

The full visual presentation and the earnings call can be accessed at 8am ET on the Golden Matrix Group website at https://goldenmatrix.com/events-presentations/.

For more information, please visit our website at goldenmatrix.com.

About Golden Matrix

Golden Matrix Group, based in Las Vegas NV, is an established B2B and B2C gaming technology company operating across multiple international markets. The B2B division of Golden Matrix develops and licenses proprietary gaming platforms for its extensive list of clients and RKings, its B2C division, operates a high-volume eCommerce site enabling end users to enter paid-for competitions on its proprietary platform in authorized markets. The Company also owns and operates MEXPLAY, a regulated online casino in Mexico.

Meridianbet Group, founded in 2001 and acquired by Golden Matrix in 2024, is a well-established online sports betting and gaming group, licensed and currently operating in 15 jurisdictions across Europe, Africa and South America. Meridianbet Group's successful business model utilizes proprietary technology and scalable systems, thus allowing it to operate in multiple countries and currencies and with an omni-channel approach to markets, including retail, desktop online and mobile.

The companies' sophisticated software automatically declines any gaming or redemption requests from within the United States, in strict compliance with current US law.

Non-GAAP Financial Measures

Adjusted EBITDA or AEBITDA, is a "non-GAAP nancial measures" presented as a supplemental measure of the Company's performance. Adjusted EBITDA, Net Debt and Net Debt Leverage are not presented in accordance with accounting principles generally accepted in the United States, or GAAP. Adjusted EBITDA represents net income before interest expense, interest income, taxes, depreciation and amortization, and also excludes stock-based compensation expense and restructuring costs. Net Debt is defined as total debt less cash and cash equivalents. Net Debt Leverage Ratio is defined as net debt as of the balance sheet date divided by annualized adjusted EBITDA for the quarter then ended. We believe that using Net Debt and Net Debt Leverage Ratio is useful to investors in determining our leverage ratio since we could choose to use cash and cash equivalents to retire debt. Adjusted EBITDA is presented because we believe it provides additional useful information to investors due to the various noncash items during the period. Adjusted EBITDA, Net Debt and Net Debt Leverage are not recognized in accordance with GAAP, are unaudited, and have limitations as analytical tools, and you should not consider them in isolation, or as substitutes for analysis of the Company's results as reported under GAAP. Some of these limitations are: Adjusted EBITDA, Net Debt and Net Debt Leverage do not re ect cash expenditures, or future requirements for capital expenditures, or contractual commitments; Adjusted EBITDA, Net Debt and Net Debt Leverage do not re ect changes in, or cash requirements for, working capital needs; Adjusted EBITDA, Net Debt and Net Debt Leverage do not re ect the signi cant interest expense, or the cash requirements necessary to service interest or principal payments, on debt or cash income tax payments; although depreciation and amortization are noncash charges, the assets being depreciated and amortized will often have to be replaced in the future, and Adjusted EBITDA, Net Debt and Net Debt Leverage do not re ect any cash requirements for such replacements; and other companies in this industry may calculate Adjusted EBITDA, Net Debt and Net Debt Leverage differently than the Company does, limiting their usefulness as a comparative measure. The Company's presentation of these measures should not be construed as an inference that future results will be unaffected by unusual or nonrecurring items. For more information on these non-GAAP nancial measures, please see the section titled "Reconciliation of Net Income to Adjusted Earnings excluding Interest Expense, Interest Income, Depreciation Expense, Amortization Expense, Stock-based Compensation Expense and Restructuring Costs" and "Reconciliation of Net Debt and Leverage Calculation", included at the end of this release.

FORWARD-LOOKING STATEMENTS

Certain statements made in this press release contain forward-looking information within the meaning of applicable securities laws, including within the meaning of the Private Securities Litigation Reform Act of 1995 ("forward-looking statements"). Words such as "strategy," "expects, " "continues," "plans," "anticipates," "believes," "would," "will," "estimates," "intends," "projects," "goals," "targets" and other words of similar meaning are intended to identify forward-looking statements but are not the exclusive means of identifying these statements.

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