ALISO VIEJO, CALIFORNIA--(Marketwired - May 31, 2016) - Fantasy Aces Daily Fantasy Sports Corp. (the "Corporation" or "Fantasy Aces") (TSX VENTURE:FAS) (OTC PINK:FASDF) is pleased to provide investors with a corporate update.
During the quarter ended March 31, 2016, Fantasy Aces continued to expand its reach into the ever growing daily fantasy sports ("DFS") industry, climbing to the number 4 position. This growth happened amidst the continuing macro industry issues surrounding state by state regulation. This period growth is reflected by:
-- Gross Revenue of $362,000
-- Prize Payouts of $3,354,000
-- Customer Deposits of $972,000
-- Game Entries: 388,285 up 68% when compared to Q1 2015
-- Operating Gross Margin increased to 9.75% from 8.5% when compared to Q1
Historically in the daily fantasy sports industry, the first quarter is the slowest, but as the above highlights show, Fantasy Aces was able to continue to grow in the key industry metrics of gross revenue and prize payouts. For comparative purposes, the Corporation had gross revenue of $1,208,000 for all of 2015, and $124,000 in the similar quarter in 2015, the first quarter revenue for 2016 is approximately three times the revenue when compared to the similar quarter in 2105. The Corporation's growth to date through the second quarter remains at this rate and the Corporation is confident that this growth will continue throughout 2016.
Subsequent to the end of the first quarter 2016, the Corporation became the number 3 site behind industry leaders DraftKings and FanDuel, but in front of Yahoo amongst others, as documented by competitive site measurements of Prize Payouts.
A key to continued growth is the iOS APP that Fantasy Aces launched on May 24. The App enhances the user experience and engagement and provides them with greater flexibility and ease of use when entering tournaments or simply viewing results when on the road or just taking a timeout to browse how they're doing. The App will evolve even more over the next 12 months as Fantasy Aces continues to roll out new features and updates.
The highly anticipated Apple iOS App released on May 24th is available for download at: https://appsto.re/us/zKjC_.i
The Company's momentum continued into April and May 2016, gross revenue and game entries for the two months is expected to match that of the entire first quarter. With the expected increase from the APP launch, Fantasy Aces is confident that its member base and engagement of that ever expanding membership base will continue to grow.
The regulatory status in the U.S. continues to move forward on a state by state adoption of laws allowing DFS to achieve a wide reaching legal status among most states.
In the current quarter, Mississippi and Missouri have fully enacted DFS into legal status and in Colorado the legalizing bill is on its way to the Governor's office.
Fantasy Aces and the industry as a whole continue to move forward optimistically for a positive regulatory future conclusion within the U.S. and the Company's prospects going forward.
FAS has applied for and been accepted for an OTCQB listing in the U.S. The Corporation currently trades under an OTC Pinks status with a fully transparent market, and expects to graduate to the OTCQB in the near future.
A Road Show to formally introduce FAS to the retail community will take place in New York City on June 13 and in Atlanta on June 16. This is a very exciting time for us and we look forward to continuing to update our shareholders over the coming quarters.
About Fantasy Aces
Fantasy Aces is a leading DFS (Daily Fantasy Sports) site focused on everyday skill-based fantasy sports games. Fantasy Aces has developed proprietary software which allows users to create fantasy teams from the player rosters of actual sports leagues and then use their teams to compete against other users in various categories such as points scored, yards gained, goals, assists or home runs registered, depending on the specific sport. The FantasyAces.com website currently offers daily and weekly skill based fantasy sports games for six major North American sports, including the NFL, NBA, NHL, MLB, College Football and the PGA. Fantasy Aces also offers a variety of entry fee contest options for its members to play, in addition to free roll tournaments to attract new members to the site. Fantasy Aces charges a management fee from all entry fees collected on the website.
Certain information set forth in this news release contains forward-looking statements or information ("forward-looking statements"). By their nature, forward-looking statements are subject to numerous risks and uncertainties, some of which are beyond the Corporation's control, including the impact of general economic conditions, industry conditions, currency fluctuations, operational risks, competition from other industry participants, stock market volatility, and the ability to access sufficient capital from internal and external sources. Although the Corporation believes that the expectations in its forward-looking statements are reasonable, its forward-looking statements have been based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward-looking statements. Accordingly, readers are cautioned not to place undue reliance on the forward-looking statements, as no assurance can be provided as to future results, levels of activity or achievements. Risks, uncertainties, material assumptions and other factors that could affect actual results are discussed in our public disclosure documents available at www.sedar.com. Furthermore, the forward-looking statements contained in this document are made as of the date of this document and, except as required by applicable law, the Corporation does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.
Trading in the securities of Fantasy Aces Daily Fantasy Sports Corp. should be considered highly speculative.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release.
Fantasy Aces Daily Fantasy Sports Corp.
Chief Executive Officer
Fantasy Aces Daily Fantasy Sports Corp.