Companies /Technology
Unity Software Inc
NYSE: U Software - Application
$41.56
▼ $5.07 (−10.87%) today
Markets open · 3:08pm ET

Unity (U) Q4 2025 Earnings

Reported Feb 11, 2026, 7:01am ET · SEC source
$0.24
Beat +214.61%
EPS · est. $-0.21
$503.1M
Beat +2.08%
Revenue · est. $492.8M
−4.4%
Trailing market
U vs S&P since report
1 quarter
Consecutive EPS beats

How Did U Stock React to Q4 2025 Earnings?

% change · around the report
−20%0+20%Feb 11Feb 12report 7:01am ETearnings−1.3%−17.3%
−20%0+20%Feb 11Feb 12earnings−1.3%−17.3%
U −17.3%S&P 500 −1.3%
−20%0+20%Feb 11Feb 12report 7:01am ETearnings−1.5%−17.3%
−20%0+20%Feb 11Feb 12earnings−1.5%−17.3%
U −17.3%NASDAQ −1.5%
−20%0+20%+40%Feb 10Feb 19report 7:01am ETearnings−1.3%−14.9%
−20%0+20%+40%Feb 10Feb 19earnings−1.3%−14.9%
U −14.9%S&P 500 −1.3%
−20%0+20%+40%Feb 10Feb 19report 7:01am ETearnings−1.5%−14.9%
−20%0+20%+40%Feb 10Feb 19earnings−1.5%−14.9%
U −14.9%NASDAQ −1.5%
−26.32%
Day of report
−8.22%
Next session
−13.64%
One week
−7.71%
30 days

S&P 500 over the same 30 days: −3.31%.

Did U Beat Earnings? Q4 2025 Results

Yes. Unity reported Q4 2025 earnings of $0.24 a share on Feb 11, 2026, beating the $-0.21 consensus estimate by 214.6%. Revenue was $503.1M against a $492.8M estimate.

Unity Software closed out fiscal 2025 on a strong note, posting Q4 revenue of $503.09 million, a 10.1% year-over-year gain that topped the $493.28 million consensus estimate by nearly 2%, while adjusted EPS of $0.24 beat the $0.21 Wall Street forecast by 17.02%. The standout driver was Unity Vector, the company's AI-powered ad mediation platform, which notched its third consecutive quarter of mid-teen sequential revenue growth and swelled to 56% of total Grow Solutions revenue, more than offsetting continued erosion in the legacy IronSource Ad Network. Create Solutions also contributed, delivering its best growth in over two years at $165.00 million as Unity 6 adoption accelerated at the fastest pace in company history. Adjusted EBITDA expanded to $124.89 million at a 25% margin, up from 23% a year earlier, reflecting tighter cost discipline. The strong close, however, was tempered by forward guidance; Unity projects Q1 2026 revenue of $480 million to $490 million, a sequential step-down that some analysts view as a meaningful reset, with adjusted EBITDA guided to $105 million to $110 million.

Key Takeaways
  • Unity Vector experienced third consecutive quarter of mid-teen sequential revenue growth, representing 56% of Grow Solutions revenue
  • Strong subscription revenue growth drove Create Solutions performance
  • Better cost control and higher revenue improved adjusted EBITDA margins
  • GAAP net loss margin improved from (27)% to (18)% year-over-year

“Fourth quarter results once again comfortably exceeded the high-end of our guidance, led by exceptional performance from Vector, which experienced its third consecutive quarter of mid-teen sequential revenue growth, and the best growth we've seen in Create in over two years.”

Unity CEO, on the earnings call

What Was Unity's Outlook in Q4 2025?

For Q1 2026, Unity expects revenue of $480 million to $490 million. In Grow, revenue is expected to be flat on a sequential basis. In Create, double-digit year-over-year revenue growth is expected, excluding the impact of non-strategic revenue. Adjusted EBITDA is expected to be $105 million to $110 million. The company continues to invest in AI tools and expects multi-year growth from Vector leveraging behavioral data available through Unity Runtime.

U YoY Financials

Q4 2025 vs Q4 2024 · SEC filings Q4 2024 Q4 2025
$0$200.0M$400.0M$457.1M$503.1MRevenue$341.6M$373.9MGross Profit$-93,544,704$-106,510,000Operating Income$-70,299,623$-89,393,000Net Income
$0$200.0M$400.0MRevenueGross ProfitOperating IncomeNet Income
U income statement, Q4 2025 versus Q4 2024
Metric Q4 2025 Q4 2024 Year over year
Revenue $503.1M $457.1M +10.1%
Gross Profit $373.9M $341.6M +9.5%
Operating Income −$106.5M −$93.5M +13.9%
Net Income −$89.4M −$70.3M +27.2%

U Revenue by Segment

Grow Solutions$338.0M+11.0%
Create Solutions$165.0M+8.0%

Figures from SEC filings and company reports. Not investment advice.