Unity Software Inc. reported its fourth-quarter earnings, revealing mixed results that led to a significant drop in its stock price, down 17% in after-hours trading. The company's earnings per share (EPS) were -$0.66, missing analysts' expectations of -$0.45. Despite this, Unity's revenue for the quarter was $609 million, surpassing the forecasted $551.2 million and estimates of $554 million. However, the company provided lower-than-expected guidance for the first quarter, projecting strategic portfolio revenue between $415 million to $420 million, and anticipates full-year strategic portfolio revenue to be between $1.76 billion to $1.8 billion. The revenue for the fourth quarter, up 35% year-over-year, would have been down 2% excluding a one-time WetaFX transaction of $99 million. Unity's stock price fell over 15% after the earnings announcement, partly due to the company not mentioning AI developments, contrasting with competitors like Zoom. Additionally, Unity posted net profits of -$254 million for the quarter.
$U (-13.7% pre) Unity stock tumbles after Q4 earnings miss and disappointing outlook - inv https://t.co/qjvmvMmDhb
$U is down more than 15% AH following the release of its Q4 earnings report. It is easy to tell why: Unity posted a negative EPS of $0.66 versus the $0.22 in positive EPS that analysts expected. Revenue would likewise have missed if not for a one-time WetaFX transaction of $99m
$U Unity reports Q4 revenue up 35% YoY to $609M, vs. $551M est., down 2% YoY to $510M excluding a Wētā FX deal, Q1 sales guidance far below est.; drops 15%+ https://t.co/DbYItj2RJG
Unity reports Q4 revenue up 35% YoY to $609M, vs. $551M est., but down 2% YoY to $510M excluding a Wētā FX deal, Q1 sales guidance far below est.; U drops 15%+ (@emilybary / MarketWatch) https://t.co/SIJ8oX4y8L 📫 Subscribe: https://t.co/OyWeKSRpIM https://t.co/YKGTRGRP5c
$U (-17% after-hours) Unity is bringing all the bears out after posting net profits of -$254 million https://t.co/odiqrBj6kz
$U (-17% after-hours) Unity is uniting all the bears together after posting net profits this quarter of -$254 million https://t.co/nWY4lm0dBg
UNITY SOFTWARE $U JUST REPORTED EARNINGS EPS of -$0.66 missing expectations of -$0.45 Revenue of $609.3M beating expectations of $551.2M
Unity $U down 15% after not mentioning AI like $ZM Zoom -Rev 4Q23 beat $609mn vs est 551mn -But sees 1Q meaningfully lower than exp for strategic portfolio revenue of $415-420mn -Sees FY24 strategic portfolio revenue of $1.76bn-1.8bn https://t.co/9lLEMgf6W5
Unity $U down 15% after not mentioning AI like $ZM Zoom -Rev 4Q23 beat $609mn vs est 551mn -But seed 1Q lower for strategic portfolio revenue of $415-420mn -Sees FY24 strategic portfolio revenue of $1.76bn-1.8bn https://t.co/dXSqF9lvMC
🚨 $U Q4 Earnings 🚨 • EPS ($0.65) vs Est. ($0.45) • Sales $609M vs Est. $554M https://t.co/dCtUutkQAo