Light & Wonder reported a slight 1% decrease in revenue to US$809 million in the three months to 30 June 2025, citing lower game sales due to the impact of macroeconomic uncertainty which led to more cautious purchasing behavior and delayed capital expenditure by some customers, particularly in Asia.
However, group-wide Adjusted EBITDA grew by 7% to US$352 million and net income by 16% to US$95 million, reflecting lower cost of revenue and reduced operating expenses, reflecting “continued operational efficiencies and disciplined cost management”, the company said in an overnight release.
While the company’s iGaming segment was the quarter’s star performer, booking 9% revenue growth to US$81 million and continuing to outperform the pace of the market, both Gaming and social media arm SciPlay saw revenues decline by 2% year-on-year.
Gaming revenue of US$528 million, which was almost 7% higher compared to the March 2025 quarter, was boosted by the company’s performance in North America where the installed base grew 9% year-on-year to 35,346. Light & Wonder said it sold 9,000 units globally for the quarter, with Gaming Operations revenue up 19% year-on-year thanks to the higher installed base and the addition of recently acquired Grover Gaming into the mix.
However, gaming machine sales fell 16, “impacted by global macroeconomic uncertainty, [the] timing of hardware refresh cycle in Australia, [a 500-unit] Entain order in the prior year and the timing of sales into Asia”. Systems revenue fell 11% while table games revenue grew 2%, the company explained. Gaming segment Adjusted EBITDA was up 3% year-on-year to US$280 million.
“We remain committed to R&D investment to further proliferate our high-performing content across channels and continue to realize the benefits of strong game performance,” said Light & Wonder President and CEO, Matt Wilson.
“Our North American installed base and revenue per day increased as we continue to execute on the key initiatives to both expand and extend the longevity of our fleet for maximum value. Additionally, I am pleased that the integration of Grover is progressing ahead of schedule, and we are very well-positioned in the charitable gaming business with a range of growth opportunities ahead of us.
“I have confidence in our strategy as we continue to execute to our long-term blueprint, which will continue to drive quality of earnings and sustainable value both operationally and financially.”
For the first six months of 2025 combined, Light & Wonder’s consolidated revenue held steady year-on-year at US$1.58 billion, with Adjusted EBITDA up 9% to US$663 million. The company, which said it expects earnings to accelerate in the second half of the year, has set its FY25 guidance, inclusive of the Grover business, at Consolidated Adjusted EBITDA of between US$1.43 billion and US$1.47 billion and Adjusted net profit of between US$550 million and US$575 million.
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