Overview
- Unity reported third-quarter revenue of $471 million, up 5.4% year over year and above prior guidance of $440 million to $450 million.
- Shares closed up 18.09% at $42.36 on Wednesday following the earnings release, reflecting a sharp post-report rally.
- Management pointed to subscription growth and a stronger Unity Ad Network powered by Unity Vector AI, along with continued strength in Create.
- Net loss was $127 million compared with $125 million a year earlier, as the company said both revenue and adjusted EBITDA exceeded expectations.
- For the current quarter, Unity guided revenue to $480 million to $490 million and adjusted EBITDA to $110 million to $115 million, with the stock’s roughly 92% year-to-date and 101% one-year gains fueling valuation debate.