Elys Game Technology, Corp. Quarterly report pursuant to Section 13 or 15(d)

20. Segmental Reporting (Tables)

3 Months Ended

Mar. 31, 2023


	March 31, 2023
	Betting establishments			Betting platform software and services			All other			Total

Purchase of Non-Current assets	$	493,293		$	520,605		$	2,264		$	1,016,162
Assets
Current assets	$	4,695,890		$	2,073,507		$	286,307		$	7,055,704
Non-Current assets		3,469,999			13,714,305			54,210			17,238,514
Liabilities
Current liabilities		(7,404,395	)		(3,131,815	)		(1,699,790	)		(12,236,000	)
Non-Current liabilities		(1,685,900	)		(1,905,820	)		(398,640	)		(3,990,360	)
Intercompany balances		6,343,542			(4,564,484	)		(1,779,058	)		—
Net asset position	$	5,419,136		$	6,185,693		$	(3,536,971	)	$	8,067,858


	March 31, 2022
	Betting establishments			Betting platform software and services			All other			Total

Purchase of Non-Current assets	$	76,620		$	22,938		$	5,571		$	105,129
Assets
Current assets	$	7,839,520		$	1,614,877		$	562,008		$	10,016,405
Non-Current assets		2,668,559			30,820,909			92,640			33,582,108
Liabilities
Current liabilities		(6,729,694	)		(1,171,806	)		(1,495,238	)		(9,396,738	)
Non-Current liabilities		(1,318,442	)		(16,697,219	)		—			(18,015,661	)
Intercompany balances		4,551,910			(2,114,610	)		(2,437,300	)		—
Net asset position	$	7,011,853		$	12,452,151		$	(3,277,890	)	$	16,186,114

The segment operating results of the reportable segments are disclosed as follows:


	Three Months ended March 31, 2023
	Betting establishments			Betting platform software and services			All other			Adjustments			Total

Net Gaming Revenue	$	11,854,690		$	—		$	—		$	—		$	11,854,690
Betting platform and services revenue		—			577,456			—			—			577,456
Intercompany Service revenue		26,831			795,066			—			(821,897	)		—
		11,881,521			1,372,522			—			(821,897	)		12,432,146
Operating expenses
Intercompany service expense		795,066			26,831			—			(821,897	)		—
Selling expenses		9,826,240			41,914			—			—			9,868,154
General and administrative expenses		1,654,903			1,312,375			1,480,469			—			4,447,747
Depreciation and amortization		58,321			282,624			6,378			—			347,323
Total operating expenses		12,334,530			1,663,744			1,486,847			(821,897	)		14,663,224

Loss from operations		(453,009	)		(291,222	)		(1,486,847	)		—			(2,231,078	)

Other Income (expenses)
Interest expense, net		(242	)		(18,694	)		(17,000	)		—			(35,936	)
Amortization of debt discount		—			—			(17,560	)		—			(17,560	)
Other income		7,323			1,523			—			—			8,846
Other expense		(21	)		(7,663	)		(1,344	)		—			(9,028	)
Loss on marketable securities		—			—			(19,000	)		—			(19,000	)
Total other income (expenses)		7,060			(24,834	)		(54,904	)		—			(72,678	)

Loss before Income Taxes		(445,949	)		(316,056	)		(1,541,751	)					(2,303,756	)
Income tax provision		—			10,395			—			—			10,395
Net Loss	$	(445,949	)	$	(305,661	)	$	(1,541,751	)	$	—		$	(2,293,361	)

The segment operating results of the reportable segments are disclosed as follows:


	Three months ended March 31, 2022
	Betting establishments			Betting platform software and services			All other			Adjustments			Total
Revenue	$	11,751,266		$	484,720		$	—		$	—		$	12,235,986
Intercompany Service revenue		56,127			555,693			—			(611,820	)		—
Total revenue		11,807,394			1,040,412			—			(611,820	)		12,235,986
Operating expenses
Intercompany service expense		555,693			56,127			—			(611,820	)		—
Selling expenses		9,253,177			33,055			—			—			9,286,232
General and administrative expenses		1,412,238			1,507,128			1,651,060			—			4,570,426
Depreciation and amortization		49,453			387,701			1,804			—			438,958
Total operating expenses		11,270,561			1,984,011			1,652,864			(611,820	)		14,295,616

Income (Loss) from operations		536,833			(943,599	)		(1,652,864	)		—			(2,059,630	)

Other income (expense)
Other income		39,749			—			—			—			39,749
Other expense		—			(1,070	)		—			—			(1,070	)
Interest expense, net		(1,212	)		(2,647	)		—			—			(3,859	)
Change in fair value of contingent purchase consideration		—			(450,013	)		—			—			(450,013	)
Gain on marketable securities		—			—			77,500			—			77,500
Total other income (expense)		38,537			(453,730	)		77,500			—			(337,693	)

Income (Loss) before Income Taxes		575,370			(1,397,329	)		(1,575,364	)		—			(2,397,323	)
Income tax provision		(229,534	)		72,641			—			—			(156,893	)
Net Income (Loss)	$	345,836		$	(1,324,688	)	$	(1,575,364	)	$	—		$	(2,554,216	)