Unity Technologies 8-K

Summary

Q3 2026 results with Q4 guidance. Growth in Unity Ads, driven by Vector, accelerated revenue growth to +13.8% Q/Q from +7.5%; revenue was $622M, up 32% Y/Y, and Unity reported its first GAAP-profitable quarter since its IPO.

Q4 strategic revenue guidance is $683M-$691M, with the midpoint +15% Q/Q from $597M; within that, Grow is $515M-$520M and Create is $168M-$171M. Non-strategic revenue is guided at $5M, and adjusted EBITDA at $290M-$295M, with its midpoint +14% Q/Q from $257M.

Developments

• Vector, the technology driving Unity Ads Network growth, grew 126% Y/Y and 40% Q/Q. Management describes its flywheel as more creators making games on Unity, increasing the need for advertising-based discovery.

Results with guidance

Metric	Guided for Q3 2026	Q3 2026 actual	Q4 2026 guide
Strategic Total Strategic Revenue	44%-47% growth Y/Y	$597M (beat)+59% Y/Y, +23% Q/Q	$683M-$691M+15% Q/Q at midpoint (better than reported)
Strategic Grow Revenue	68%-70% growth Y/Y	$432M (beat)+90% Y/Y, +31% Q/Q	$515M-$520M+20% Q/Q at midpoint (better than reported)
Strategic Create Revenue	7%-10% growth Y/Y	$165M (beat)+11% Y/Y	$168M-$171M+2.7% Q/Q at midpoint (better than reported)
Non-Strategic Revenue	$20M	$25.5M (beat)-73% Y/Y, -58% Q/Q	$5M-80% Q/Q at midpoint (worse than reported)
Adjusted EBITDA (non-GAAP)	69%-74% growth Y/Y	$257M (beat)+134% Y/Y, +60% Q/Q	$290M-$295M+14% Q/Q at midpoint (better than reported)

Earlier guidance from the 8-K filed 2026-08-06.

Results without guidance

Metric	Q3 2026	Change	9M 2026
Revenue	$622M	+32% Y/Y, +14% Q/Q	$1.68B+25% Y/Y
Operating income	$101M	vs -$126M Y/Y, vs -$32.2M Q/Q	-$283Mvs -$373M Y/Y
Net income	$121M	vs -$126M Y/Y, vs -$23.6M Q/Q	-$250Mvs -$313M Y/Y
Diluted EPS	$0.25	vs -$0.30 Y/Y, vs -$0.05 Q/Q	-$0.59vs -$0.75 Y/Y
Operating cash flow	$224M	+44% Y/Y, +8.9% Q/Q	$501M+66% Y/Y
Capital expenditures	$4.25M	+3.6% Y/Y, +16% Q/Q	$12.7M-22% Y/Y
Free cash flow (non-GAAP)	$220M	+45% Y/Y, +8.8% Q/Q	—
Cash and cash equivalents	$2.65B	+13% Q/Q	—

What moved the numbers

• Grow Solutions revenue was $457M, up 44% Y/Y; Unity Ads Network growth, driven by Vector, was partly offset by declines in the ironSource Ads Network.
• Create Solutions revenue was $165M, up 8% Y/Y. Subscription growth was partly offset by lower cloud and hosting services revenue following the 2025 portfolio reset.
• The largest adjustments in the non-GAAP reconciliation included $76.7M of intangible-asset amortization and $63.1M of stock-based compensation in Q3.
• YTD intangible-asset impairment was $278.7M.

Figures extracted from the filings and checked against their text; changes and verdicts computed from them.