Unity's first-quarter 2025 revenue was $435 million, down 5.5%, with a $127.94 million operating loss

Written by Claude Sonnet 5.5, an AI model, from public records. Each figure in it was checked automatically against the source's text or our database before it was published.

Unity, which offers tools to create, market and grow games, reported revenue of $435 million for the quarter from Jan 1, 2025 to Mar 31, 2025, 5.5% less than the $460.38 million of the same quarter a year earlier. The figures are in its 10-Q, the quarterly report a US-listed company files with the SEC, filed on May 7, 2025. Create Solutions, its subscriptions and related services, brought in $150.38 million, down 8.1%; Grow Solutions, its monetization and game publishing business, brought in $284.62 million, down 4.1%.1^,2^,3^,4^,5^,6^,7^,8^,9^,10^,11^,12

Management said total revenue fell mainly because Create Solutions revenue fell, on lower professional services and consumption services revenue, partly offset by higher subscription revenue. It tied the fall in Grow Solutions revenue to changes in customer demand, competition and resource allocation decisions. Revenue from what Unity calls its non-strategic portfolio, mostly in Create Solutions, was about $17 million, against about $34 million a year earlier, and the company said it expected that revenue to decline further through the rest of 2025. To improve Grow Solutions, Unity began moving part of its traffic to a new AI platform, Unity Vector, in the first quarter of 2025; it said it expected related revenue to improve, though declines elsewhere might offset that.13^,14^,15^,16

The operating loss was $127.94 million, against $374.93 million a year earlier. The net loss attributable to Unity's shareholders was $77.64 million, against $291.07 million, and the loss per diluted share was $0.19, against $0.75. Total operating expenses were $448.98 million, against $690.92 million, and management put the fall in research and development spending mainly on lower personnel costs after headcount reductions. Incremental employee separation costs were about $14 million, against about $193 million a year earlier, which included $126 million of incremental stock-based compensation, and other restructuring costs, mainly office closures, were $6 million, against $19 million. In February 2025 Unity issued $690 million of 0% convertible senior notes due 2030, debt that can be converted into shares, and used the proceeds to buy capped calls and repurchase older convertible notes. It repurchased 2026 notes with a principal balance of $688 million for $642 million, which produced a pre-tax gain of $42.7 million, booked in interest income and other income, net; the first quarter of 2024 had a gain of $61.4 million.17^,18^,19^,20^,21^,22^,23^,24^,25^,26^,27^,28^,29

Unity also reported adjusted EBITDA, a non-GAAP measure of its own that excluded items such as stock-based compensation, amortization of acquired intangibles, depreciation, restructuring, interest and income tax: $83.9 million, against $78.5 million. In its May 7, 2025 earnings release, the company guided to second-quarter 2025 revenue of $415 to $425 million.30^,31^,32^,33^,34

Our records hold revenue, operating income, net income attributable to Unity's shareholders and diluted earnings per share for the quarter. They keep one value for each period, the latest filed, so they cannot tell whether the year-earlier figures were restated.35^,36