Unity Software Inc. (Unity) has reported its financial results for the fiscal year ended December 31, 2023. The company generated a total revenue of $2.19 billion, with Create Solutions contributing $859.2 million and Grow Solutions contributing $1.33 billion. Despite the increase in revenue, Unity experienced a net loss of $826.3 million for the year. The net loss was attributed to various factors, including increased operating expenses, particularly in research and development, sales and marketing, and general and administrative costs. Unity also faced challenges such as a high volume of negative customer feedback and a boycott due to announced changes to its pricing model for Create Solutions, which impacted Grow Solutions revenue in the second half of 2023. The company underwent a CEO change and began restructuring efforts...Show More

Unity Software Inc. (Unity) has reported its financial results for the fiscal year ended December 31, 2023. The company generated a total revenue of $2.19 billion, with Create Solutions contributing $859.2 million and Grow Solutions contributing $1.33 billion. Despite the increase in revenue, Unity experienced a net loss of $826.3 million for the year. The net loss was attributed to various factors, including increased operating expenses, particularly in research and development, sales and marketing, and general and administrative costs. Unity also faced challenges such as a high volume of negative customer feedback and a boycott due to announced changes to its pricing model for Create Solutions, which impacted Grow Solutions revenue in the second half of 2023. The company underwent a CEO change and began restructuring efforts, including plans to eliminate approximately 25% of its workforce and close corporate offices in 14 locations. Unity's financial statements also revealed a total of $2.7 billion in unsecured convertible notes outstanding and a share repurchase program authorizing up to $2.5 billion in stock buybacks. The company's management concluded that internal control over financial reporting was effective as of December 31, 2023, and there were no material changes in internal control over financial reporting during the fourth quarter of the year.