Light Wonder 2025 Q3 Earnings Record Net Income Growth of 78%

Light & Wonder (LNW) delivered mixed Q3 2025 results, with revenue rising 2.9% to $841 million but missing estimates, while non-GAAP EPS of $1.81 exceeded expectations by 35.8%. The company maintained full-year 2025 guidance for AEBITDA and Adjusted NPATA, signaling confidence in its strategic execution.

Revenue

Light & Wonder’s total revenue for Q3 2025 reached $841 million, driven by a 4% increase in land-based gaming revenue to $558 million and a 16% surge in iGaming revenue to $86 million. SciPlay contributed $197 million, though its performance lagged slightly due to challenges in the social gaming segment. The newly acquired Grover Gaming added $40 million in revenue, supporting the company’s omni-channel strategy.

Earnings/Net Income

The company’s non-GAAP EPS surged 35.8% to $1.81, outpacing estimates, while net income grew 78% to $114 million. This marked a record net income for Q3, reflecting strong operational efficiency and cost discipline. The EPS beat underscores Light & Wonder’s ability to leverage its diversified revenue streams and strategic investments.

Post-Earnings Price Action Review

The strategy of buying Light & Wonder shares on the date of its revenue raise announcement and holding for 30 days showed favorable performance over the past three years, with two out of three quarters delivering gains. However, Q3 2023 saw a 5.2% decline, highlighting the stock’s susceptibility to short-term volatility. Cumulative gains over three years reached 11.1%, outperforming the S&P 500’s 1.6% gain. Adjusting for the Q3 decline, the strategy still yielded a 6.9% positive return. Holding shares until the next earnings report could mitigate such volatility, as seen in prior quarters.

CEO Commentary

CEO Matt Wilson highlighted the integration of Grover Gaming into the omni-channel strategy and record iGaming performance, while CFO Oliver Chow emphasized disciplined capital allocation and $111 million in shareholder returns via share repurchases. Leadership expressed confidence in the company’s balance sheet flexibility and long-term growth trajectory.

Guidance

Light & Wonder reaffirmed its full-year 2025 guidance, targeting $1.43–$1.47 billion in AEBITDA and $550–$575 million in Adjusted NPATA. The company also confirmed its transition to a sole listing on the ASX by October 13, 2025, with 57% shareholder conversion to CHESS Depositary Interests.

Additional News

Light & Wonder is transitioning to a primary listing on the Australian Securities Exchange (ASX) to enhance market presence, a move expected to streamline operations and align with industry trends. The company’s acquisition of Grover Gaming has progressed well, with the integration supporting entry into Indiana’s charitable gaming market. Additionally, Light & Wonder announced $111 million in share repurchases during Q3, with $1.5 billion in total buybacks since 2022, reflecting its commitment to shareholder returns.