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Reading: Unity’s Q1 2025 revenue dips 6% YoY to $435m
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Online Tech Guru > Gaming > Unity’s Q1 2025 revenue dips 6% YoY to $435m
Gaming

Unity’s Q1 2025 revenue dips 6% YoY to $435m

News Room
Last updated: 8 May 2025 02:25
By News Room 3 Min Read
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Unity has released the financial results for the first quarter of its 2025 financial year, reporting a drop in revenue across both its Create and Grow Solutions segments of 8% and 4%, respectively.

Unity attributes the former primarily due to a “decrease in professional services revenue and consumption services revenue, both caused by the portfolio reset,” and said the year-over-year decrease was partially offset by strong growth in subscription revenue.

The drop in Grow Solutions revenue, however, was “driven by declines in select Grow products,” but Unity said that this loss was “partially offset by the earlier than expected rollout of Unity Vector.”

Here’s what you need to know:

The numbers

  • Revenue: $435 million (down 6% year-on-year)
  • Create Solutions revenue: $150 million (down 8% year-on-year)
  • Grow Solutions revenue: $285 million (down 4% year-on-year)
  • Net loss: $78 million (with a margin of 18%)

Despite the drop, Unity said strength across both the Grow and Create segments “helped drive results that exceeded expectations, beating the high-end of our guidance for revenue by 5% and adjusted EBITDA by 29%.”

Unity 6, which Unity calls the “most stable and performant version of Unity,” has registered more than 4.4mm downloads since launch, with 43% of its “active users” having already moved over to Unity 6.

“As one measure of Unity’s continued strength with the next generation of game developers: Not four or five but all NINE of the nine game categories at the Independent Gaming Festival Awards of 2025 went to games made with Unity,” the company said. “In addition, Neva by Nomada Studio, and Thank Goodness You’re Here by Coal Supper both won a 2025 BAFTA Award with ‘made with Unity titles’, an incredible recognition of the talent and creativity in our community.”

The firm also confirmed that the migration of the Unity ad network to its new AI platform, Unity Vector, was completed ahead of schedule, with all of the iOS and Android traffic on the Unity Ad Network now running on Vector. Unity called it a “significant first milestone” as [its] self-learning models adapt in real time, helping customers navigate an increasingly competitive mobile market place.”

“The Company’s first quarter results once again meaningfully exceeded expectations on both revenue and Adjusted EBITDA, highlighting our progress as we continue to build a culture of execution and discipline,” said Matt Bromberg, president and CEO of Unity.

“The early success of Unity Vector and continued strong demand for Unity 6 underscore our positioning as the leading integrated platform supporting developers across the full lifecycle of game development.”

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