Skillz Inc. (SKLZ) Reports Q2 Loss, Tops Revenue Estimates

Company Performance - Skillz Inc. reported a quarterly loss of $1.12 per share, which was better than the Zacks Consensus Estimate of a loss of $1.34, representing an earnings surprise of +16.42% [1] - The company posted revenues of $27.37 million for the quarter ended June 2025, exceeding the Zacks Consensus Estimate by 20.05%, compared to revenues of $25.3 million a year ago [2] - Over the last four quarters, Skillz has surpassed consensus EPS estimates two times and topped consensus revenue estimates twice [2] Stock Movement and Outlook - Skillz shares have increased by approximately 40.4% since the beginning of the year, significantly outperforming the S&P 500's gain of 7.9% [3] - The future performance of Skillz's stock will largely depend on management's commentary during the earnings call and the company's earnings outlook [4][6] - The current consensus EPS estimate for the upcoming quarter is -$1.28 on revenues of $23.55 million, and for the current fiscal year, it is -$4.72 on revenues of $93.81 million [7] Industry Context - The Gaming industry, to which Skillz belongs, is currently ranked in the bottom 42% of over 250 Zacks industries, indicating potential challenges ahead [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Skillz's stock performance [5]