NYSE$U
Unity Software Inc. · Q3 2022 earnings
Q3 2022 earnings · · Investor relations
Briefing
Unity's third quarter results aligned with guidance, demonstrating strong performance in Create solutions and continued advancement in Operate, while completing the merger with ironSource.
Unity delivered $322.9 million in revenue during the third quarter of 2022, up 13% year-over-year. The company's third quarter came in line with guidance for revenue and non-GAAP operating income. Unity completed its merger with ironSource, creating an end-to-end platform for mobile app creators.
- Revenue was $322.9 million, an increase of 13% from the third quarter of 2021.
- Create Solutions revenue was $128.6 million, an increase of 54%.
- Operate Solutions revenue was $171.7 million, a decrease of 7%.
- Basic and diluted net loss per share was $0.84, compared to basic and diluted net loss per share of $0.41 in the third quarter of 2021.
Headline financials
Revenue & EPS history
Unity · Revenue · Quarterly
$323M
Revenue by segment
Unity · $300M total across 2 segments · Q3 2022
- Grow Solutions$172M-7.2%57.2%
- Create Solutions$129M+53.6%42.8%
Forward guidance
Unity is providing the following guidance for the fourth quarter and for the full year ending December 31, 2022.
Tailwinds
- Q4 2022 Revenue Guidance: $425M - $445M
- Q4 2022 Year-over-year revenue growth: 35% - 41%
- Q4 2022 Non-GAAP income (loss) from operations: $5M - $15M
- Q4 2022 Non-GAAP operating margin: 1% - 3%
- Q4 2022 Fully diluted shares outstanding: 562M
Headwinds
- Full Year 2022 Revenue Guidance: $1,365 - $1,385
- Full Year 2022 Year-over-year revenue growth: 23% - 25%
- Full Year 2022 Non-GAAP income (loss) from operations: ($88)M - ($98)M
- Full Year 2022 Non-GAAP operating margin: (6%) - (7%)
- A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q3 2022
+2.1%
Avg return
Earnings day
+3.9%
Avg return
5 days after
+5.8%
Avg return
30 days after
58%
14 / 24 earnings
Positive
+30.4%
Q4 2024
Best reaction
-39.9%
Q1 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -1.8% | -1.7% | +6.9% | |
| Q4 2025 | -26.3% | -35.7% | -33.1% | |
| Q3 2025 | +18.1% | +20.2% | +27.6% | |
| Q1 2025 | -3.1% | +2.4% | +17.9% | |
| Q4 2024 | +30.4% | +19.5% | +0.4% | |
| Q3 2024 | -5.4% | -11.3% | +27.9% | |
| Q2 2024 | +11.6% | +16.7% | +13.9% | |
| Q1 2024 | -10.0% | -4.4% | -28.3% | |
| Q4 2023 | -0.8% | -7.5% | -13.7% | |
| Q3 2023 | +3.6% | +12.0% | +25.5% | |
| Q2 2023 | -9.2% | -11.8% | -18.1% | |
| Q1 2023 | +14.8% | +6.1% | +28.4% | |
| Q4 2022 | -12.7% | -18.8% | -21.3% | |
| Q3 2022 | +17.1% | +37.6% | +42.8% | |
| Q2 2022 | +11.7% | +17.5% | -22.1% | |
| Q1 2022 | -39.9% | -22.4% | -18.0% | |
| Q4 2021 | +6.5% | +5.5% | -12.7% | |
| Q3 2021 | +8.2% | +20.6% | -14.2% | |
| Q2 2020 | +18.2% | +14.0% | +26.1% | |
| Q2 2021 | +10.1% | +16.9% | +21.7% | |
| Q1 2021 | +3.3% | +7.2% | +23.6% | |
| Q4 2020 | -13.3% | -13.7% | -36.7% | |
| Q4 2019 | +9.6% | +13.0% | +49.9% | |
| Q3 2020 | +8.7% | +11.8% | +44.4% | |
| Q1 2020 | — | — | — | |
| Q3 2019 | — | — | — | |
| Q2 2019 | — | — | — | |
| Q1 2019 | — | — | — |
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