I think I know why you are seeing that issue, I should be able to fix it in the plugin. Thanks for the bug report and supplying an example project, which is always very helpful for debug.
Meanwhile for further testing in your project add a rotating sprite in your layout. This will make sure the GIF render to C3 happens every frame, including at the start.
On the memory side, the GIF is not storing much data in the GPU memory, but a lot in CPU memory (each decoded frame.) So the memory usage may show up in another way, just something to be aware of.
Thank you for reply! Glad to hear that this bug is going to be fixed.
Rotating sprite definitely resolves the gif display issue. I will continue to try other features of the plugin.
Also thanks for pointing out the memory usage thing. At the moment debugger shows about ~13% CPU usage (vs ~320mb with a sprite object) when the gif is playing. As I play it only for a short amount of time it's a pretty good solution for me!