Golden Matrix Group, Inc. (ticker: GMGI) Financial Report

Operating Activities

Net Income (Loss)

The company reported a net loss of $977,274 for the first six months of 2023, compared to a net income of $1,115,120 in the same period in 2022.


The company made various adjustments to reconcile the net income to cash provided by operating activities, including:

  • Fair value of stock-based compensation
  • Fair value of shares issued for services
  • Unrealized foreign exchange loss (gain) on contingent liability
  • Amortization of intangible assets
  • Depreciation of property, plant, and equipment

Changes in Operating Assets and Liabilities

The company experienced changes in operating assets and liabilities such as:

  • Accounts receivable
  • Prepaid expenses
  • Inventory of prizes
  • Accounts payable and accrued liabilities
  • Customer deposits

Investing Activities

Cash Paid for Acquisitions

The company made cash payments for the acquisition of RKings, GMG Assets, fixed assets, and intangible assets.

Net Cash Used in Investing Activities

The company had a net cash outflow of $96,062 in investing activities for the first six months of 2023.

Financing Activities

Purchase of Treasury Stock

The company recorded a cash outflow of $32,322 for the purchase of treasury stock.

Net Cash Used in Financing Activities

The company had a net cash outflow of $32,322 in financing activities for the first six months of 2023.

Cash and Cash Equivalents

Net Increase (Decrease) in Cash and Cash Equivalents

The company experienced a net increase in cash and cash equivalents of $804,140 for the first six months of 2023, compared to a net decrease of $986,443 in the same period in 2022.

Cash and Cash Equivalents at the End of the Quarter

The company had cash and cash equivalents of $15,753,813 at the end of the quarter, compared to $15,811,213 at the end of the previous quarter.

The Company’s Business Operations and Accounting Policies

Business Operations

Golden Matrix Group, Inc. operates as an innovative provider of enterprise Software-as-a-Service (SaaS) solutions for online casino operators and online sports betting operators. It primarily operates in the business-to-business (B2B) segment, providing turn-key and white-label gaming platforms for international customers in the Asia Pacific region. The company has also expanded into the business-to-consumer (B2C) segment by offering pay-to-enter prize competitions in the UK through its subsidiary, RKings, and operating an online casino in Mexico named Mexplay.

Accounting Policies

The company prepares its financial statements in accordance with generally accepted accounting principles in the United States (US GAAP). It follows the principles of consolidation in which it includes the accounts of the company, its subsidiaries, and eliminates intercompany transactions and balances. The company also follows specific accounting policies for:

  • Cash
  • Allowance for doubtful accounts
  • Website development costs
  • Software development costs
  • Inventory of prizes
  • Property, plant, and equipment
  • Impairment of intangible assets
  • Revenue recognition


Golden Matrix Group, Inc. has reported a net loss of $977,274 for the first six months of 2023. The company’s financial report provides insights into its cash flows, business operations, and accounting policies, offering a comprehensive view of its financial performance.

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