Unity Software Inc (NYSE:U) shares are rising in Thursday’s after-hours session after the company released strong preliminary results for the first quarter.
- Unity Software stock is among today’s strongest performers. Why is U stock rising?
Unity Reports Preliminary Q1 Results
Unity announced Thursday that it expects first-quarter results to come in above prior guidance. The company sees first-quarter revenue in the range of $505 million to $508 million versus prior guidance of $480 million to $490 million.
Unity also guided for first-quarter adjusted EBITDA of $130 million to $135 million versus prior guidance of $105 million to $110 million.
The strong performance in the quarter was driven by Unity Vector, which is expected to grow 15% sequentially in the first quarter.
Unity also announced that it will be sunsetting its ironSource Ads Network, effective April 30. The company expects the change to drive faster revenue growth and higher adjusted EBTIDA.
“Unity Vector continues to deliver robust growth each quarter, driving results meaningfully above our guidance. Today’s actions will accelerate Vector’s impact on our business, enhancing both revenue growth and profitability,” said Matt Bromberg, president and CEO of Unity.
U Shares Surge After The Close
U Price Action: Unity Software shares were up 15% in after-hours, trading at $19.70 at the time of publication on Thursday, according to Benzinga Pro.
Image: Shutterstock.com
Login to comment