$U | Unity Q2 2025 Earnings Summary
Revenue: $440.9M (expected $426.7M)
→ However, -2% YoY contraction
Adj. EPS: $0.18 (expected -$0.28)
Q2 Segment Details:
Create Solutions: $154M (+2% YoY)
Grow Solutions: $287M (-4% YoY)
Unity Ad Network: +15% QoQ → 49% of the Grow segment
Q3 Guidance:
Revenue: $440M–$450M (expected $445.1M)
Adj. EBITDA: $90M–$95M
"Grow" segment: Mid-single-digit quarterly growth expected
"Create" segment: Slight contraction expected
Operational Data:
Adj. EBITDA: $90M (21% margin)
Free Cash Flow: $127M (previously $80M)
Net Operating Cash: $133M (previously $88M)
Cash & Cash Equivalents: $1.70B ($1.53B in December 2024)
CEO Matt Bromberg:
This quarter is a turning point for Unity. Our Unity Vector strategy is reshaping our growth potential. We surpassed the upper bounds in both revenue and EBITDA.
Comment:
Unity delivered a strong positive surprise in EPS and EBITDA, but annual revenue remains negative. The growth side is declining, but the ad network's recovery is positive. The create side is experiencing stable but limited growth. There is a significant improvement in cash flow, and the balance sheet is becoming more resilient.
The "Unity Vector" strategy may herald a transformation.
Limited growth in the short term, with a more aggressive recovery possible in the medium term.
Margins are strong, and operational efficiency is improving.
Unity is still in transition, but signs of a bottoming out are becoming clear.
#Unity #U #Earnings #GameDev #AdTech #Q22025 #TechStocks #TradersPub #Investment #BalanceSheetAnalysis
Revenue: $440.9M (expected $426.7M)
→ However, -2% YoY contraction
Adj. EPS: $0.18 (expected -$0.28)
Q2 Segment Details:
Create Solutions: $154M (+2% YoY)
Grow Solutions: $287M (-4% YoY)
Unity Ad Network: +15% QoQ → 49% of the Grow segment
Q3 Guidance:
Revenue: $440M–$450M (expected $445.1M)
Adj. EBITDA: $90M–$95M
"Grow" segment: Mid-single-digit quarterly growth expected
"Create" segment: Slight contraction expected
Operational Data:
Adj. EBITDA: $90M (21% margin)
Free Cash Flow: $127M (previously $80M)
Net Operating Cash: $133M (previously $88M)
Cash & Cash Equivalents: $1.70B ($1.53B in December 2024)
CEO Matt Bromberg:
This quarter is a turning point for Unity. Our Unity Vector strategy is reshaping our growth potential. We surpassed the upper bounds in both revenue and EBITDA.
Comment:
Unity delivered a strong positive surprise in EPS and EBITDA, but annual revenue remains negative. The growth side is declining, but the ad network's recovery is positive. The create side is experiencing stable but limited growth. There is a significant improvement in cash flow, and the balance sheet is becoming more resilient.
The "Unity Vector" strategy may herald a transformation.
Limited growth in the short term, with a more aggressive recovery possible in the medium term.
Margins are strong, and operational efficiency is improving.
Unity is still in transition, but signs of a bottoming out are becoming clear.
#Unity #U #Earnings #GameDev #AdTech #Q22025 #TechStocks #TradersPub #Investment #BalanceSheetAnalysis
🎮 $U | Unity Q2 2025 Earnings Summary
🔹 Revenue: $440.9M (expected $426.7M) ✅
→ However, -2% YoY contraction
🔹 Adj. EPS: $0.18 (expected -$0.28) ✅
📊 Q2 Segment Details:
🔸 Create Solutions: $154M (+2% YoY)
🔸 Grow Solutions: $287M (-4% YoY)
🔸 Unity Ad Network: +15% QoQ → 49% of the Grow segment
📈 Q3 Guidance:
🔹 Revenue: $440M–$450M (expected $445.1M) ➖
🔹 Adj. EBITDA: $90M–$95M
🔹 "Grow" segment: Mid-single-digit quarterly growth expected
🔹 "Create" segment: Slight contraction expected
💰 Operational Data:
🔹 Adj. EBITDA: $90M (21% margin)
🔹 Free Cash Flow: $127M (previously $80M)
🔹 Net Operating Cash: $133M (previously $88M)
🔹 Cash & Cash Equivalents: $1.70B ($1.53B in December 2024)
🗣️ CEO Matt Bromberg:
This quarter is a turning point for Unity. Our Unity Vector strategy is reshaping our growth potential. We surpassed the upper bounds in both revenue and EBITDA.
📌 Comment:
Unity delivered a strong positive surprise in EPS and EBITDA, but annual revenue remains negative. The growth side is declining, but the ad network's recovery is positive. The create side is experiencing stable but limited growth. There is a significant improvement in cash flow, and the balance sheet is becoming more resilient.
🔸 The "Unity Vector" strategy may herald a transformation.
🔸 Limited growth in the short term, with a more aggressive recovery possible in the medium term.
🔸 Margins are strong, and operational efficiency is improving.
Unity is still in transition, but signs of a bottoming out are becoming clear.
#Unity #U #Earnings #GameDev #AdTech #Q22025 #TechStocks #TradersPub #Investment #BalanceSheetAnalysis
