World Chess PLC - Interim Results for Six Months Ended 30 June 2025

23 September 2025

World Chess Plc

("World Chess", the "Company" or the "Group")

Interim Results for the Six Months Ended 30 June 2025

World Chess Plc (LSE: CHSS), a leading chess organisation seeking to promote the mass market appeal of chess globally through the offering of different chess-related activities, is pleased to announce its unaudited condensed consolidated interim financial information for the six months ended 30 June 2025.

Financial Overview for the six months ended 30 June 2025

●     Revenue of €1.1 million (H1 2024: €1.2 million )

●     Pre-tax loss of €2.1 million  (H1 2024: €1.9 million )

●     Fundraise of €2.3 million

Trading and refocus:

Revenue from the FIDE Online Arena (renamed to 'World Chess the official gaming platform' after the reporting period) was broadly flat compared to 2024. The Company was focused on developing the platform, including features, such as gamification and anti-cheating module and developing branding and marketing structure that is required for growth.  Management decided to close the World Chess Club Berlin and put greater emphasis on developing the digital platform.

The Berlin club became a popular chess hub, but commercially it didn't deliver the results the Company expected, and a new, scalable venue model is under review.

All consumer-facing platforms have been consolidated under worldchess.com, streamlining user experience and brand identity.

Strategic Investment & Marketing Focus (subsequent events)

On 23 July 2025, after the end of the reporting period, the Company entered into a binding subscription agreement with two strategic investors to raise US$2.0 million through the issuance of 114.3 million new ordinary shares. This transaction provides the financial foundation for the next phase of growth.

On 4 August 2025, after the end of the reporting period, worldchess.com launched "The Tower", a new progression system designed to boost engagement and subscription conversion, and on 1 September 2025 the Company announced that worldchess.com had surpassed 1 million registered users - a significant milestone marking expanding global reach.

This condensed consolidated interim financial information has not been audited or reviewed by auditors pursuant to the Financial Reporting Council guidance on Review of Interim Financial Information.

For more information, please visit https://www.company.worldchess.com/investors or contact:

World Chess Plc Ilya Merenzon, CEO merenzon@worldchess.com

Novum Securities Limited Financial Adviser: David Coffman / Anastassiya Eley +44 (0) 20 7399 9400

Notes to Editors

World Chess (LSE: CHSS) is a London-based chess gaming and entertainment company and Fédération Internationale des Échecs ("FIDE") official commercial partner. World Chess organised the FIDE Championship Matches in the USA and the UK and revolutionised the sport by signing the biggest media partnerships in chess history. World Chess develops Armageddon, the chess league for prime-time television. World Chess also runs FIDE Online Arena, the exclusive official chess gaming platform. More at worldchess.com.

INTERIM MANAGEMENT REPORT

Overview

The first half of 2025 was a period of both progress and adjustment for World Chess. While the Group continued to grow its user base and develop new engagement tools, revenue growth from the FIDE Online Arena was slower than anticipated. In response, we have undertaken a strategic refocus, which included the closure of the Berlin club and a sharper concentration on scaling our digital platform.

Cash flow and liquidity

Net cash used in operating activities was €0.9 million in the first half of 2025 (H1 2024: €0.8 million), reflecting the Group's continued investment in platform development and marketing. At 30 June 2025, the Group held cash balances of €54k (31 December 2024: €180k). Subsequent to the period end, the Company raised US$2.0 million (approximately €1.8 million) through a strategic subscription, providing additional resources to support execution of the Group's growth strategy (see note 14: Subsequent events).

World Chess Club Berlin

In April, we made the strategic decision to close the World Chess Club Berlin. While the location served as a vibrant chess hub, it did not meet commercial expectations. The insights gained are informing our new, scalable venue model aligned with long-term growth and return objectives. This closure is reflected as an exceptional charge of €0.7 million in the condensed consolidated interim financial information.

Board changes and governance

On 14 February 2025, Graham Woolfman stepped down as a director and as Chairman of the Company. The Board subsequently appointed Neil Rafferty as Interim Chair. The Company thanks Graham for his contribution to the Company both during the IPO process and subsequently.

SUBSEQUENT EVENTS

With the support of new strategic investors, announced in July, the emphasis is now firmly on marketing and subscriber growth.

Brand consolidation and refocus

The Group has unified all consumer-facing services under worldchess.com (transitioning from chessarena.com), streamlining user access and strengthening brand identity. This consolidation underpins the Group's strategic refocus on subscriber engagement and marketing.

We continue to amplify our global visibility through high-quality content. Our flagship television series, The World Chess Show, remains a key asset in broadening our audience, with recent episodes delivering deep insights into integrity and fair play in chess. These media efforts complement our digital strategies and reinforce our branding.

Strategic investment

On 23 July 2025, we entered into a binding subscription agreement with two strategic investors to raise US$2.0 million through the issuance of 114.3 million new ordinary shares.      

Product innovation and user growth

On 4 August 2025, the Group launched "The Tower", a gamified progression system integrated into WorldChess.com to increase engagement and accelerate conversion to PRO subscriptions. Shortly after, the platform surpassed 1 million registered users, confirming its expanding global reach.

RISKS AND UNCERTAINTIES

The principal risks and uncertainties facing the Group remain consistent with those disclosed in the 2024 Annual Report and Accounts, which is available on the Company's website at https://www.company.worldchess.com/investors. The Board continues to monitor these risks closely.

As noted in the Going concern section of this interim report (see note 2: Going concern), execution of the Group's strategy is likely to require additional funding within the next 6 months, and the timing and availability of such funding represents an ongoing risk.

Approved by the Board on 22 September 2025 and signed on its behalf by:

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED 30 JUNE 2025

CONSOLIDATED STATEMENT OF FINANCIAL POSITION AT 30 JUNE 2025

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE SIX MONTHS ENDED 30 JUNE 2025

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE SIX MONTHS ENDED 30 JUNE 2025

.

NOTES TO THE STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED 30 JUNE 2025

NOTES TO THE UNAUDITED CONDENSED CONSOLIDATED FINANCIAL INFORMATION FOR THE SIX MONTHS ENDED 30 JUNE 2025

1           STATUTORY INFORMATION

This unaudited condensed consolidated interim financial information is for World Chess Plc ('the Company') and its subsidiary undertakings, (together the 'Group'). The Company is a public limited company incorporated and domiciled in England with registration number 10589323 and registered office Eastcastle House, 27/28 Eastcastle Street, London, W1W 8DH.

             The Company is listed on the Official List and its entire issued share capital was admitted for trading on the Main Market of the London Stock Exchange on 6 April 2023 with ticker symbol CHSS.

2           ACCOUNTING POLICIES

             Basis of preparation

             This unaudited condensed consolidated financial information which incorporate the financial information of the Company and its subsidiary undertakings, have been prepared in accordance with Accounting Standard IAS 34 'Interim Financial Reporting' as contained in UK-adopted International Accounting Standards and IFRIC interpretations and with those parts of the Companies Act 2006 applicable to companies reporting under IFRS.

             The interim report does not include all the notes of the type normally included in an annual financial report. Accordingly, this report is to be read in conjunction with the annual report for the year ended 31 December 2024 which was approved by the Board of Directors on 29 April 2025 and any public announcements made by the Company during the interim reporting period.

             This financial information has been prepared under the historical cost convention and unless otherwise specified are presented in Euro which is the functional currency of the Group and rounded to the nearest €.

             Going concern

             This condensed consolidated interim financial information has been prepared on a going concern basis, which the Directors consider to be appropriate.

             At 30 June 2025 the Group had cash balances of €54k and net current liabilities of €1.8m. The Group continues to incur operating losses as it invests in the development and marketing of its digital platform.

             Subsequent to the reporting date, on 23 July 2025, the Company entered into a binding subscription agreement with two strategic investors to raise US$2.0 million (approximately €1.8 million) through the issue of 114.3 million new ordinary shares. Admission of these shares occurred in August 2025. In addition, warrants were granted over 31.4 million new ordinary shares, exercisable upon reaching 35,000 paid subscribers by 31 December 2026.

             The Directors have prepared cash flow forecasts covering a period of at least 12 months from the date of approval of this condensed consolidated interim financial information. These forecasts take account of the proceeds from the July 2025 fundraising and the Group's expected operating cash flows.

             However, the forecasts also indicate that the Group remains dependent on successfully executing its growth plans and may require access to additional funding during the forecast period if revenues do not materialise as expected. These conditions represent a material uncertainty that may cast significant doubt on the Group's ability to continue as a going concern.

             The condensed consolidated interim financial information does not include the adjustments that would result if the Group were unable to continue as a going concern.

             Risks and uncertainties

             The Group's activities expose it to a variety of risks, including market risk (foreign currency and interest rate risk), credit risk and liquidity risk. These risks, and the Directors' approach to managing them, are described in detail in the 2024 Annual Report and Accounts, available on the Company's website at https://www.company.worldchess.com/investors.

             The Board does not consider that the nature of these risks has changed materially during the six months ended 30 June 2025. However, as noted in the Going concern section above, execution of the Group's strategy is likely to require additional funding within the next 12 months, and the timing and availability of such funding represents an ongoing risk.

             Dividend

             The Directors do not propose the payment of an interim dividend for the six months ended 30 June 2025 (six months ended 30 June 2024: nil).

             Prior period adjustment

             The comparative figures for the six months ended 30 June 2024 have been presented as restated to reflect the prior period adjustment disclosed in the Group's annual financial statements for the year ended 31 December 2024 (see note 31 of those financial statements). No new prior period adjustments have been recognised in these interim results.

3           REVENUE

Revenue is reported by geographical area based on the location where the revenue is recognised in the Group's financial records, rather than the location of the customer.

4           EXCEPTIONAL ITEMS

Closure of World Chess Club Berlin

             In May 2025 the Group closed its World Chess Club in Berlin. The closure resulted in the derecognition of the related right-of-use asset (€993,112) and the impairment of fixtures and fittings (€877,742) and inventories held at the club (€24,591). A provision of €82,554 was recognised in relation to termination of the lease and the remaining lease liability of €1,262,559 was released.

             The net impact recognised in profit or loss as exceptional items in the period was a charge of €715,440.

             Management continues to explore the resale of fixtures and fittings. Any proceeds received in a future period will be recognised as a reversal of impairment to the extent of recoverable value.

             Loss on Crypto-assets

             The Group has historically received some sponsorship revenue in the form of crypto-assets which it has converted to fiat currencies at the earliest opportunity, usually upon receipt or in accordance with an agreed schedule of conversion. Crypto-assets are not amortised but are reviewed for impairment if the prevailing price at which they can be converted into fiat currency indicates their value has fallen below their carrying value. Any impairment or realised gains on the conversion of crypto-assets to fiat currency are recognised within exceptional items.

5           NET FINANCE COSTS

6           LOSS PER SHARE

             The basic earnings per share is calculated by dividing the loss attributable to owners of the parent company by the weighted average number of ordinary shares in issue during the period. In calculating diluted earnings per share, the weighted average number of ordinary shares in issue is adjusted to assume conversion of all dilutive potential ordinary shares. Potential ordinary shares are considered dilutive when their conversion would decrease earnings per share or increase the loss per share. For the six months ended 30 June 2025, the Company was loss-making. As such, the inclusion of potential ordinary shares would be anti-dilutive. Consequently, basic and diluted earnings per share are the same.

             After the reporting period, and as set out in note 14 (Subsequent events), 114,348,670 new ordinary shares were issued for total cash consideration of €1,708,522

7           DIVIDENDS

             No dividend was recommended or paid for the period under review.

8           INTANGIBLE ASSETS

             The Directors considered the carrying value at 30 June 2025 for each asset identified above, except crypto-assets, and it was determined that no impairment was required. Where an asset does not generate cash inflows that are largely independent of the cash inflows from other assets or groups of assets the carrying value was considered against the smallest identifiable group of assets that generates cash inflows (cash generating unit or CGU).

             The Directors considered the carrying value at 30 June 2025 for crypto-assets based on the prevailing exchange rate at which the crypto-asset could readily be converted into US dollars or Euros and it was determined that no impairment was required.

9           PROPERTY, PLANT AND EQUIPMENT

Right of use asset of €993,112 and fixtures and fittings of €877,742 relating to the World Chess Club Berlin were impaired to nil during the period. See note 4 (Exceptional items) for further detail

10         INVESTMENTS

Shares in group undertakings

             The Directors considered the carrying value at 30 June 2025 for each group undertaking, identified below, and it was determined that no further impairment was required.

11         CALLED UP SHARE CAPITAL