Revenue Performance - Fourth quarter revenue was $457 million, down 25% year-over-year, primarily due to a portfolio reset[5] - Revenue from the strategic portfolio was $442 million, up 4% year-over-year[5] - Create Solutions revenue was $152 million, down 47% year-over-year, with a 20% decline when excluding the impact of the Wētā FX termination[7] - Grow Solutions revenue was $305 million, down 5% year-over-year, but would have increased by 2% excluding prior customer credits[8] - Full year revenue was $1,813 million, down 17% year-over-year[12] - Revenue for Q4 2024 was $457.1 million, down 25% from $609.3 million in Q4 2023[37] Profitability Metrics - GAAP net loss for the quarter was $123 million, with a margin of (27)%, an improvement from (42)% in the same quarter last year[10] - Adjusted EBITDA for the quarter was $106 million, with a margin of 23%, compared to $186 million and 30% margin in Q4 2023[11] - Full year GAAP net loss was $664 million, with a margin of (37)%, an improvement from (38)% in the previous year[17] - For Q4 2024, Unity reported a net loss of $122.5 million, a decrease from a net loss of $254 million in Q4 2023, representing a 52% improvement year-over-year[30] - Adjusted EBITDA for Q4 2024 was $106.1 million, with an adjusted EBITDA margin of 23%, compared to $185.6 million and 30% in Q4 2023[37] Cash Flow and Liquidity - Free Cash Flow for the quarter was $106 million, compared to $61 million in Q4 2023[12] - The company experienced a net cash provided by operating activities of $112.2 million in Q4 2024, an increase from $72.1 million in Q4 2023[30] - Cash, cash equivalents, and restricted cash at the end of Q4 2024 totaled $1.53 billion, down from $1.60 billion at the end of Q4 2023[30] - Free cash flow for the year ended December 31, 2024, was $286.00 million, compared to $178.78 million for the year ended December 31, 2023, indicating a 60.1% increase[39] Expenses and Cost Management - Stock-based compensation expense for Q4 2024 was $110.2 million, compared to $181 million in Q4 2023, indicating a 39% reduction[37] - GAAP gross profit for Q4 2024 was $341.6 million, with a gross margin of 75%, compared to $347.7 million and 57% in Q4 2023[37] - Non-GAAP cost of revenue for Q4 2024 was $76.1 million, representing 17% of revenue, compared to $86.6 million and 14% in Q4 2023[37] - GAAP research and development expense for Q4 2024 was $217.97 million, a decrease from $265.15 million in Q4 2023, representing a 17.7% decline[39] - GAAP sales and marketing expense for Q4 2024 was $175.75 million, down from $215.37 million in Q4 2023, reflecting a 18.4% reduction[39] - GAAP general and administrative expense for Q4 2024 was $71.50 million, a decrease from $126.13 million in Q4 2023, showing a 43.4% decline[39] Future Outlook and Strategic Initiatives - Q1 2025 guidance projects revenue of $405 to $415 million and adjusted EBITDA of $60 to $65 million[23] - Unity plans to allocate R&D to high-impact initiatives and focus on revenue growth while managing shareholder capital prudently[40] - The company expects to release its new product, Vector, with anticipated improvements and scalability over time[40] - Unity aims to reduce shareholder dilution from stock-based compensation and enhance per share returns[40] - The company anticipates gradual de-leveraging over the next several years[40] - Unity's financial guidance for Q1 2025 will be provided in future communications[40]

Unity Software (U) is scheduled to report its fourth-quarter 2024 results on Feb. 20.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.For the fourth quarter of 2024, the company expects total revenues in the range of $422-$427 million.The Zacks Consensus Estimate for fourth-quarter revenues is pegged at $431.77 million, indicating a 29.13% decrease from the figure reported in the year-ago quarter.The consensus mark is pegged at a loss of 35 cents per share, which remained unchanged ove ...

Company Performance - Unity Software has experienced challenges in managing its customer relationship policies, leading to a need for recovery efforts [1] Stock Information - Unity Software's stock price was recorded at $6 90 on the afternoon of January 26 2025 [1]

Unity Software Inc. (NYSE: U ) underwent a major restructuring at the beginning of FY24 and may now be undergoing a transitional period before a potential return to growth. With the release of Unity 6 andMichael Del Monte is a buy-side equity analyst with over 5 years of industry experience. Prior to working in the investment management industry, Michael spent over a decade in professional services working in industries that range from O&G, OFS, Midstream, Industrials, Information Technology, EPC Services, ...

Unity Software Inc. (U) closed at $21.96 in the latest trading session, marking a +1.2% move from the prior day. The stock's performance was ahead of the S&P 500's daily gain of 0.12%. Elsewhere, the Dow gained 0.52%, while the tech-heavy Nasdaq lost 0.23%.Prior to today's trading, shares of the company had lost 13.75% over the past month. This has lagged the Computer and Technology sector's loss of 3.73% and the S&P 500's loss of 3.45% in that time.The upcoming earnings release of Unity Software Inc. will ...

Unity Software Inc. (U) shares ended the last trading session 9.1% higher at $24.51. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 14.7% loss over the past four weeks.The upswing in share price came following a social media post from meme stock trader Keith Gill, known online as Roaring Kitty. Gill, who notably spurred on the GameStop rally of 2021, posted a short clip of the musician Rick James who has a song ca ...

I am a full-time analyst interested in a wide range of stocks. With my unique insights and knowledge, I hope to provide other investors with a contrasting view of my portfolio, given my particular background.If you have any questions, feel free to reach out to me via a direct message on Seeking Alpha or leave a comment on one of my articles.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the ...

Unity Software (U) shares have declined 40% year to date (YTD), underperforming the broader Zacks Computer and Technology sector’s appreciation of 29.8%.It has also underperformed the Zacks Internet - Software industry and its peers, such as Fortinet (FTNT) , monday.com (MNDY) and Audioeye (AEYE) .In the same time frame, shares of AEYE, FTNT, and MNDY have returned 377.7%, 63.7%, and 49.4%, respectively. The industry has appreciated 35.1% YTD. The company’s underperformance can be attributed to declining Gr ...

Turnarounds are not the most popular of recommendations-particularly in the IT space. I doubt if their success ratio reaches 50%. They sound good in theBert Hochfeld graduated with a degree in economics from the University of Pennsylvania and received an MBA from Harvard. Mr. Hochfeld has enjoyed a long career in the tech world, working for IBM, Memorex/Telex, Raytheon Data Systems, and BMC Software. Starting in the 1990s, Mr. Hochfeld worked as a sell-side analyst and won awards from the Wall Street Journa ...

The up-and-down saga that is Unity Software's (U 3.84%) trajectory over the past few years was far more up than down this week. Although the influential video game engine developer had little news of its own to report, an analyst's new take helped bolster investor sentiment on its business. According to data compiled by S&P Global Market Intelligence, as of early morning Friday Unity stock was up nearly 30% in price week to date. A pundit stands by his buyOn Wednesday, white-shoe investment bank Morgan Stan ...