RE:RE:RE:RE:RE:Anyone worriedShockandAwww wrote: Good discussion guys. This discussion seems to accept as a simple conclusion that no sports means no engagement means no adverts means no money. Maybe true. I dunno. I'm still opening the app a lot becasue i follow the daily drama with all the leagues but that's just me. Anyway, I wonder Heshoots if in whatever projections you've made if you've considered the effect of Canadian government COVID programs? SCR is some leasehold space with a bunch of people hitting keys on computers. Presumably they can qualify for some pretty hefty salary assistance? Salaries are by far their biggest expense.
One thing ive always liked about SCR is what i have thought would be their ability to be nimble in hard times. People can be trimmed. As i said, the company seems to be a bunch of people creating content. Ive always sensed it was a bit bloated that way and have also always been cynical as to its Toronto location. I know Levy is personally committed to the city but it is a very high salary jurisdiction and you could pay content creators in, say, Georgia, a fraction of what you pay in Toronto. Plus if the Canadian government continues to ignore, disregard, and have no interest in the be jobs that SCR can create why should they stay?
Good point on the salary assistance - this is part of the reason I hold out a bit of hope that the cash burn in this quarter and next won't be as bad. The problem is we don't really know how much of that they can and are taking advantage of, so tough to say. Hopefully it adds a bit of upside to the earnings - we'll find out in 4 weeks.