Super League Enterprise, Inc. (Nasdaq: SLE) reported significant financial changes in its unaudited quarterly results for the period ending September 30, 2024. Total current assets decreased to $5.6 million from $16.8 million as of December 31, 2023, while total assets fell to $12.6 million from $25.3 million. Total current liabilities also decreased to $8.1 million from $13.4 million, resulting in a decline in total stockholders’ equity to $3.5 million from $10.0 million.

For the three months ended September 30, 2024, revenue was $4.4 million, a decrease of 38% from $7.2 million in the same period in 2023. For the nine-month period, revenue totaled $12.8 million, down 18% from $15.6 million year-over-year. The decline in revenue was attributed to decreases in media and advertising revenue, which fell to $1.5 million from $2.9 million, and publishing and content studio revenue, which decreased to $2.6 million from $4.0 million. Direct-to-consumer revenue also dropped to $247,000 from $349,000, impacted by the sale of Minehut assets.

Despite the revenue decline, the company reported a reduced net operating loss of $3.5 million for the third quarter, compared to a loss of $4.5 million in the prior year. For the nine months ended September 30, 2024, the net operating loss was $12.2 million, down from $19.9 million in the same period in 2023. However, the net loss for the third quarter increased to $3.6 million from $3.0 million year-over-year, while the nine-month net loss improved to $11.3 million from $17.1 million.

Strategically, Super League completed the sale of its Minehut assets to GamerSafer, Inc. for $1.0 million, with payments structured through revenue sharing over several years. The company also entered into an Equity Exchange Agreement with Infinite Reality, which will result in Infinite Reality owning 84.9% of Super League's shares post-transaction. This agreement includes the acquisition of esports assets and a credit facility of $30 million to be established in January 2025.

The company has also made adjustments to its operational structure, including a reduction in personnel costs due to headcount reductions across various functions. Noncash stock-based compensation expenses decreased significantly, reflecting modifications to executive and employee grants.

As of September 30, 2024, Super League's cash and cash equivalents were $0.3 million, down from $7.6 million at the end of 2023, with net cash used in operating activities amounting to $8.2 million for the nine months ended September 30, 2024. The company is evaluating potential strategic acquisitions and may need to raise additional equity capital or incur debt to finance these initiatives.