Unity 1Q26 First Take: Unity pre-announced 1Q results in late Mar and disclosed plans to separate IronSource and Supersonic; background in our prior note (Unity Q1 业绩预告点评). Revenue came in slightly above the pre-announced range.Excluding scope changes, EBITDA beat as tighter cost control following portfolio refocus drove operating efficiency.
Also supportive for sentiment: management guided Q2 ads revenue above Street. Engine revenue is in line as the early-year price hike underpins organic growth.
Note BBG consensus has a lag: several models were submitted before Mar, so the Strategic segment in some estimates still includes IronSource and Supersonic. That makes the Q2 Strategic Grow revenue guide of $300mn look below the $340mn consensus.
Adjusting consensus to exclude IronSource and Supersonic, the market was at Approx. $290mn for Q2 Strategic Grow; the $300mn guide is slightly above, implying Unity Ads ~50% YoY.We expect Q2 to benefit from the D28 algorithm driving deeper client penetration and data integration with the Runtime engine. With competition intensifying at the margin, management’s view on the longer-term vector trend is key; watch for more detailed KPIs on the call. $Unity Software(U.US)
