Unity Software Inc. reported its first-quarter financial results after the bell on Thursday, revealing a mix of performance metrics. The company posted first-quarter GAAP losses of 75 cents per share, falling short of the analyst consensus estimate of 65 cents per share. However, quarterly sales exceeded expectations, coming in at $460 million compared to the estimated $431.55 million, marking a 6.59% beat.
Unity Software attributed the growth in its Create Solutions revenue from the strategic portfolio to hit $133 million, a 17% increase year-over-year, driven mainly by subscription and partnership growth. In contrast, the Grow Solutions revenue from the strategic portfolio was reported at $294 million, a 4% decline year-over-year.
Jim Whitehurst, Unity’s Interim CEO, commented, ‘We closed the first quarter with results in line with expectations. The portfolio and cost reset that we started a few months ago is completed. While we will always look for efficiencies, our attention turns to accelerating revenue growth while operating at attractive profit and cash flow margins.’
Looking ahead, Unity anticipates second-quarter revenue from its strategic portfolio to range between $420 million and $425 million, reflecting a decrease of 6% to 7% year-over-year.
Following the earnings report, Unity Software shares experienced a 4.84% decline in after-hours trading, settling at $22.96.
