Unity Software (U) 22 Feb 232022 Q4 Earnings call transcript

[Call Starts Abruptly] game market in industries and digital twins side of our business.

So again, before we go into broader Q&A, maybe you could explain how you kind of see the macro environment playing out for Unity. And then I’ll have one quick question for Luis as well.

Sure.

So broadly, the macro environment remains surprisingly resilient.

the productive we’re as at developers – look as are they’ve you gaming seeing industry, our If been before. huge a producing number games. They’re of Their against game is up investment development well. holding

suggestive demand. strong. And to twins, within or in DAUs over strong we side there be then game year XXX% seeing remains our continues growth the We’re last network that play of where users robust reported industry very overall digital in

to we’re take so but maybe of sales elongated got pinch. little far when and decide, And pretty longer demand cycles where you’ve a spot a our bit people not ability in some in good feeling we’re excess to a supply,

of such learn very happening point, specific And see, to but all offer stable it’s XXXX and we stabilized be when might of than historically stable. and unusual but to the user of expecting from a not we’re weaker work couple ads you The against flips than flip. as by especially some years At strong home the from home seems offset been is middle So to in, era, or eCPMs continues stronger. has actually market I’d that again expect, points. What’s indexing market it now. engagement we’re

not We’re be a is forward. markets lot using conservative. concern looking solid. that to are of in We But There want our models the all in, here.

that that for that we very does And balancing oftentimes the of would profitability? question today? Thanks how Luis, into thinking get kind the fit issued are about and Great. guidance growth much. And be you you we how

Richard. you, Thank Yes.

our is revenue and plan this we’re just assumption a what to on this It in the better in I clearly taking the that side, like environment. just John would revenue is mentioned, So is way say prudent market reflected guide. on

we the announced and and bar raising to few And to investments clear being beds opportunities the that the new twice we’ve before on stone company or And that in future finding we to like things selective of reducing in at more cost of that on Unity, elimination close very the reducing taking very we’re frankly XXX focused improve any the part make Now a grant been new we actions of profitability. hires side, add roles number includes compensation. this we turning cost, once being places. number in shares includes the of every and as that that our

you value. view taking a a as cost growth and result, to year see on costs flat as relatively And costs making So should quarter-over-quarter. very revenue are we’re holistic expect the adding sure that during

happens we significantly what then is XXXX. improve profitability to expect Now that in

million about look to the $XX If million from significant had at in one swing year adjusted in million $XXX EBITDA XXXX expect somewhere – you we a $XXX another. and to non-GAAP we be XXXX, of range in of loss very to so

that every more is Now XXXX, the were one would what’s create profitability is to like expect In XXXX, interesting and comes in quarter. about obviously only that QX. And year-over-year I profitable profitable XX:XX to be point in grow. see make improvement you from we single we

So we’re across the making progress board.

actions market more as very profitability the on said, We’re assumptions to environment. and with cost on this being John proactive taking, in decisive conservative improve

the Here we open we [Operator analysts can to Thank on now it you go. Well, up Instructions] the much. very from Great. call. questions

at Matt Morgan Cost question First from Stanley.

me? you Hi, everybody. Can hear

Yes.

Yes.

taking Great. the Thanks for question.

So thing maybe in one letter. the just

of or China That’s base your going twins. because mobile pricing, that question. revenue some growth mentioned the stable customer in be create we digital is the kind market? that and year going of You that assume to gaming growth Should pressure the on seat in being of issues drivers the this just first under

in to think, million, ramp million. the $XXX at to million the first look is full is for the we the guidance $XX number when just EBITDA, $XXX quarter million year is I question second $X The

So What of in Thank that’s EBITDA we pretty significant as step-up year. should through just drivers that? the about you. think move dollars as of we the

want with start this Luis, do one? to you

Yes.

question, On I relatively expect the second just during part be year. of Matt, we flat to your cost as said, the

get As profitability you quarter-over-quarter, get know, revenue healthy levels. And very the we gross margin. growth have a as you you those into

on importantly, is basically QX. only fully impact against. where QX. impact and some Very in partially. that assumption QX, we’ve full that have So, the they And Matt, working QX They and quarter impact QX taken we’re actions costs of obviously a the don’t

and seats. In terms normally don’t we seats, guiding the haven’t been of

growth, So we’re in game strong industry called we every continued be users, the our what Matt. going and don’t increased of be intent our of sequential obviously and call it very pricing China But to across – platform shares We number our particular, out, drivers out forward, continue important those to in strong. are in has particular. because

over areas seat in market calling and growth see new particular around drivers. seats the And things coming new growth more It’s we year. the with little And seats, One that et . like really, don’t any and cetera, talk how but we’re are Ziva, on we’ve to we artistry. customers, issue like to coming time expect there’s side. tools feel out the so are professional of that Weta I strong that, can bit the a is about acquired

Great. Thank you.

Bazinet from Jason And Citi.

just a I simple had question.

or new noteworthy partnerships Luis. which old and, about contracted you’d think, Just maybe out? million, that a grew this bit. anything is $XX million UGS may strategic there I that Create either Create for about be Is implies or grew call is $X there Sequentially, anything

good Yes. point. Jason,

in business. a on added QX a of actually will just think, That’s where basis acceleration super QX in in that terms a you on I strong of important see, call. just numbers to the We at dollars look had you on that Create ups an this why, as business it’s mentioned, partnerships signed. actually number to remember, And that stand-alone we and from is Q-over-Q. are QX, strategic when downs commented have deals very may You based

Okay.

So about that’s Jason. it, would the I way think

Just take view the – . the apples. to view, that’s the clean apples

if you ask X I mind do Okay. follow-up? And

Go ahead.

And like I been sort are a seems manufacturing four isn’t China increasing. big four the exports should China, think of of you, that use some to It the advising you it’s have? of the do just biggest changes or related the for ring-fenced not to investors we know concern that accounting to tensions firms. and whether is business accounting chip sort geographically firms Or big sort with made of but it’s

Luis. Let me top take of one, that the

Yes.

gaming in China market the world. biggest the So is

with just So let’s start that.

businesses there. in China the we operate The second thing, we’re the market leader in

is previously, fourth, And out issue And started seeing maybe we lot minute. then in – we a us. lastly, observation then us structure issuing getting to sets have better a Apologies, after, and you demand can will, new a year Luis had over and change long-term guys. versus in of it China licenses licenses, that don’t a the But structure super important I twins. a it get digital China third up for in if know, think again. our So made we’re China to in cold I make we half, growth not on interest

we’ve and set China ourselves . up growth So to is us, for there. long-term important,

Great.

to don’t Sachs. from Piper, moment, Rangan. Well, you call have next let’s guys All go at to with should Brent if Brent right. it’s Check on? Are it. see Bracelin Goldman be please. the the think We I Kash

hear Can Great. you me okay?

Yes. Hi, Brent.

John, guess, mediation one missing those start of Gaming with maybe Services was you. I the mean, we’ll Perfect. of I Unity pieces offering.

these of in that What think the you peek the a kind addressed ad QX as XXXX And in far services? maybe learned so sneak have with bring as of about mediation market I about can with to some give into here? of they what kind ironSource. you help you think think us you functionality

asking the is I So to for that the because LevelPlay thank two it networks. to there’s allows the have and in tools seeing interest address you combined call. with me offering strong ad on we What wanted the like say that that question collection something we’re

share are growth. market We seeing

share platform. up We’re customers under course, increased of picking mediation that wallet. our of drives And

are instantaneous. things these Now not

It some it’s these agreement do bring engineering an and and to platform phased. our to time You that come on to effort things. to typically them takes

XXXX, tells going end that And in to share the even year, no us, hard put the business It’s chosen but argue middle focus which QX to of of predicting business. do I a the some essentially, this call the significant would do by there us market a is folks advertising to on while a trying comes is recovery for to in the we’re we a put are confident there’s stable why predict we expecting a so year. Luis in We what for from the we’re gain we’re say and enable at in QX fair gains expect share back matter market – of a from starting a that throughout up pick not our growth that seeing, stronger we’re anybody to EBIT year. amount market point. though be that. and a for to get to last the We’ve what the in cost that say, made and leverage seeing impact it there’s not should were year, because not

that year. within expect market, it we’re seeing the we growth, already and we’re in market share and So predicting marketplace that stable see the to throughout

ironSource the all-in-all, Unity So going well. integration is

lost a single executive in is the these typically have As case that an we things. example, not

terms the market Mark working onto to platforms, synergies lot And time. in create how so work going a that there’s over we that’s Tomer and go we pay of between we dividends side think side to a of on and to bring platform, growth how customers drive the lot our of are the on

of better us next and are synergy, us singular We It’s to we’re in better the a outcomes for a theme a about because as going how the shareholder we were word that end-to-end outcomes for. get of is sick for what The going for talked talk guys over got letter. combination generating we to you several looking our quarters it be song exactly about we platform. customers

make hand businesses. of than a services in will, much the just combination and that combination the you platform If additive two entire stronger glove the of tools

through on So forward. growth market emphasis the share year, synergy heavy going

talks the And Luis leverage that with about. EBIT that,

quarter quick little the last just into basis What through to baked here. color. I Luis this then versus view retention number, perspective downticked what’s quarter. in follow-up either retention do a it ex-ironSource, net on Just a bit basis? outlook at from or for Helpful net the contemplated you ironSource the combined And an If a ex one trying guide. look think XXXX

Yes.

want expansion rate. me to you Now on guide our

So Brent...

always Luis. more, You want

is QX and in overall, both market just what just I share, John we think QX. said, I’ll are which repeat to expand expecting

the for year. imply Now don’t give what be it But seeing we with that unless without would implies. want to Brent, to expansion I number is precise clearly and what should above rate a me, that’s net you ironSource. yes, XXX%

year. QX expect We to the should share, positive a market net expansion in seeing and grow rate. we be And therefore, number both in for

Helpful color, so thank you much.

Brent. Thanks

should have Kash. – for We Great. we go. here Gili

Thomas, are have on go. So at other – we Okay. Goldman please. Becker do Blair, do Sachs, guys we Dylan have ready? we you Well, there people William the

an Maybe Hopefully, Google capitalize hear improve how ability important UGS is long me. starting developers I for can to was bit we games guys you too announcement not expanding And to you there. for that interactive live ago. announced can off, look the and But monetization talking about looking John, a the opportunity good with of for time what industry. maybe like partnership guys and the think spent there and

Google Well, partners. say I’d is look, one best our of that

partner of as of with number a with major we fronts, we number a So the them mega on caps. do

it’s important and us. So we’re there super deeply to partnered

major us, is have going fullness thing substantial in the a growth second and already us. very it is be prospects UGS. for time, for faith The to it a it’s we massive – business long-term for of And in the is business

a So it’s that’s We’ve an strong for really under on area focused general we’re Jeff growth. Mark. where team got management

for now. driving growth right it they’re And

high equation offering customers customers. the onto cost and good for we about a in feel bringing and of It our competitive We’re good a performance offering. terms working more the is platform, very on

those business Super can helpful. the on do it, of you we near-term well. spent on some as Maybe headwinds Aura Maybe ton a of device we if but talk time how haven’t there, guys going by the piece potential significant across for devices afforded being opportunity – global monetization of and forward the connectivity touch a opportunity well. and of Thanks. points being lot a embedded about as number think

carrier management we for from a – it’s we those at app level, device business very great with a is but drive know, business. of store. for who it’s deal meaningful It’s also acquisition. business you drive a of Aura It data, us. the around but ironSource came And operate strategic don’t the it. They along a where a the revenue

this area differentiated Our too winning well can’t Digital because the talk carrier. offering, space believe, winning where And we national is in get it’s we like when Turbine. a share, competitor from about principal specific we it’s another market major

are a deals not up – quarter. These trends. you day. These material X.X point or point these So a pick X.X like are are

are confident gaining here. that we’re we And

but prior been to expect have would what think, it’s looks show on, can’t something It we feel Unity’s pipeline hear I really forward. We about to get and our we into you happy, that But I looks good would what to to ownership, I pipeline love make business. our detail going you like. further like.

if app take, you’re Unity, about that on acquisition the we’re example, – think love We’d we’re leading we’ve for a we’d platform of one user love entire the – you device devices. platform we love ecosystem, monetization love you stores. – meaningful for both got It’s if the creation if mobile the same a that industry. a across that leading both We management,

that theme really together to – our do and as everyone. from song. all more feel things bring anyone our Unity together makes It’s we to successful I I when they is that said, end-to-end it’s good end-to-end, synergies platform differentiates these that for love ability our platform now come be are an to years about our to that We It And synergistically. use going synergistic from and customers that again, highly create what saying come. And about Luis platform.

Thanks, Super John. helpful.

you later. to here, won’t ask but it We do do a maybe

at So [indiscernible] Goldman Sachs.

now. I there think we got on you

they any Kash. XQ. that? [ph] for a the seeing and was and category, much the It’s on in we everyone. are you Hi, the – strong customer ironSource keep quickly ultimately Thanks touch decision just behind Can kind behavior Unity Gilly your growth what for to same have Yes. now congrats back on so and supersonic under rationale of circling HUD on

not because get sure work the I’m quite that I getting together? we’re of customers

creating seeing deal that of this ironSource if utilize customer as Yes. helped Or point well. just getting you you’re synergies any kind word in growth the at synergies between to

Okay.

which are a me us, phase added in EBIT let the an going moment, to a sort performance share in customers see through So In That yields share profitable of a of lucrative driver Unity. you time very present winning give year. a we for of the way. mediation, we’re added this the is market wallet outcome more not important and

happening Now it’s a the message. are is because acquisition right to carrying market precisely after we what

the a And platform, performance is drives power the the message of customers. better combined that data the for our power

result that are, presentation. things come are these of a as if will, a you Now that about

without on combination of to working we’re want where better advantage that’s which are publish create, right for directly. we’re better what thing of an example, to of performant environment. something second market story. more Now we going our for some customers the it or the of there, mix, directly take to set, are leaving supersonic it’s the doing is They a take point. are we’re that’s where into can where parts is require up their there is make them we integration starting engineering for in a to and to There’s do or indoor now things easy – shows ever our customers in, part it and editor platform tool LevelPlay engineering Luna And about user products it’s more or to the now. the whether places and it’s the a lot and monetized bigger platform That to supersonic of be

is customers it’s et advantages It’s The in ironSource, to engineer second the point LevelPlay. that need and than and our want. And supersonic the cetera. more just networks, two

that better the cost-efficient So creation, they content tools, also equation, creation. whether we create all bring to to bring content things as for Artistry, for AI more equation simulation the we as the need of it’s example,

enabled And is platform, the find of in which it’s UGS, which space. is that us so success part to what’s

hate single wax source opportunity, about source Synergy platform more to business successful for single to engineering and about, So really themselves. to about on it’s about simpler find it’s leverage customers of a synergy. our story, is partly what single more but for truth, the I a of

we’ll this be probably I about talking said, As quarter and each for every to come. years

mispronounced question. Great. Well, from your you please I name But Wolfe. Arsenije so much. your ask Thank

me? Can you guys hear

Yes.

to a then create And my I in for growth whether of Weta excluding had taking on Arsenije I and is wanted you This parse for could quick question. XQ? non-gaming UGS Gal. out Thanks what was, roughly ask follow-up. the

that? Luis, have you

not quarter, node, growth, beginning exact year, growth, the We $XX in put which We strong see the we’re isolated weather told we includes very right? number that XXX% you Yes, you for year, the that it for providing the the be by would before. million. the non-gaming, is about at of

The thing percentage we you comparable XX%. we six basis, about On of from our that to a announced increase XX% a saw went ago as business. an is other that months

So that would a basis structure comparable been we’ve the reporting that based old on on be before.

clearly we’re business, and acceleration an that XXXX. we . continue in So expect to seeing into that

number quickly that on was that the acquisition? some in million the churn revenue they to the now Is for in last happened that out. of of backing to for timing $XXX to Thank over in ironSource, you. Thank published that contribution due customers terms XQ due Or relative there I $XXX,XXX you. million the ironSource kind ironSource $XXX for from recognition that ironSource That’s just the XXXX. was is And in over of one then metrics customers of the number helpful. and contributing just last believe $XXX,XXX published

us. were obviously, larger of the bad. some for large customers customers not it’s No, also happens is, What

the you numbers. just add So cannot

but in larger us, became for some above $XXX,XXX. customers were just already So our they even customers counted

see You that?

Perfect. sense. Yes. you. Thank Makes

customers, Which also penetrated is we is it Because some is also basically, new helpful. is a terrific, customers what good does acquire right? very but combination, which more, we which even

So we had both. of a healthy combination

very you Thank much. Perfect.

from Right. in Do any audience? Barclays. questions the other folks have Mario from we

the for question. joint taking the thanks the I guys, Hey one have just business now. on seasonality of

on XXX. terms In financials was it we guys versus saw XQ quarter, said in of the fourth combined of [indiscernible] you the what guidance of the

segment? So the just create from the is curious, it of Thanks. that down step the growth business? mostly is Or sequential side on

to take – me you Yes want John? do that,

Yes, please. Yes

for there the more So talk the a few John all growth economy, I factors business. that give over to we seasonality being very we yes, given about to for right? want on just yes, explained, even prudent particularly don’t a businesses, for Mario, assumptions market. the the both answer mean, and prudent the mean question, it’s it. market That’s in you for on forecast are view on the of your the are where to But taking last I conservative each years it’s But but business. difficult I COVID, being are the name we And QX. them

of strong You kind will professional normally see services business. in QX a

and to QX be thing mentioned. seasonality watch driven other we will that always then factors one So in that the by

So that’s it, Mario. to about think the way

And had COVID. seen of now of business speaking in last beginning People returned The it the ads exceptionally wave just last strong. to of school. middle today home had we very that we’ve the I’ve right industry. continued to stabilization QXs or from elevated Seasonality is went say the home was We in second year in starting year. terms the in of

QX bit Christmas go the seasonality. to the the And growth is QX normal a you hard of across say read little elevated you’d holidays and a strongest to a QX. to quarter quarter. so year, after then little the staying as is strongest business, second growth QX side the bit it’s of essentially very In

outcome. is fourth And years. That’s that even, it to then in higher And of did XX% subtle What be game it’s from that where quarter. you’d business, around then consumption the different a the of seasonality been the is a XX% within say – we like is more work and but increased similar QX the many it quarter the fairly three truck with we be drove fourth side third home, is can than mobile, a although for what issues this through quarter, world ways. in there recession. you through type the many, COVID, business strongest, true of tends

stabilization we to emphasizing engagement pipeline we’re in now, read strong we’re the – which seeing And games, recover strong what typical the really so underlying it’s been based consumer really weaker at you is Create, is around of Again, slightly engagement strong recessionary why signal. very point. right and games which a which is some in of on hard eCPMs, period some business and ads consumer outside

much of definitely space. challenging So person data. We the in we’ve be see well, We’ve you trying we it, to we modeled lot we it understanding type keep as been pretty a it this of think of as heck and time darn is of econometric that but a can. understand an sort out to

Great. maybe That’s follow-up. very a helpful. And quick just

being In very approximately game as other stabilizing market just it’s of terms is the point, just tough year, year-on-year. this your That’s improving. are some first to of comp. is saying half But a the XX% commentary down companies the

So that precisely, you’ve right. got

beginning exceptionally it’s strong. of color last of year. Yes, was middle we’ve more for the The added year So than last stabilized others.

the up in of so of terms in in the of sort served market in the quarter in And industry. year was advertising the mid-XXs terms first of first the last business across growth, quarter

middle of So XXXX, year, In looking first comparing strong. the year, now last the of wasn’t to in second XXXX It was stable, what half second is of lapping a which flatter. at stronger it’s we’re of Even we’re stronger not the this we’re be as though going forecasting to lapping we’re from half recovery, period. period. it was the stabilization we’re a when half

of year, want get going we’re half of it about to the the think it, down the second it, first so half the flat. – year, you to if And call and call

the if minus to year. you’re that’s we So modeling whole get XX% in where aggregate

The is We’re stabilized. saying market thing. exactly same the

the year-over-year and added total We’re view, served down ads indexes first quarter-over-quarter year-over-year It’s for versus the in color be Mario. quarter. adding will a second that the

Thank you guys. helpful. very That’s

Lane. Parker Great.

Great. for look segment expect expansion Grow impact what how to Luis, Thanks to compared And back is Create net then a can you if qualitative give taking wondering of guys. the for I recently? moment. to a I us rates circling sense was if question pricing non-gaming the the of be do and the impact can on expansion particular, much you initiatives a from consumption future of in at forward? models going introduction side? new perhaps non-gaming tailwind that How and

Yes.

So net at you’ve over side, that stable the if in before we’re has with right? is this fairly the Grow been last quarter, what healthy, look and reductions I seeing quarter the Create very have in mainly consistent the and the expansion quarters And fairly side. seen that. we two rate talked the So come that from last

business models, we’ve mainly each that has we pricing different – of is models side. monetization monetize right? that question, really have the non-gaming it’s to The of pricing side business customers. the the on call mostly we’ve your pricing in taken so – side, the how game The our the But and talked different second last that keep taken improving gaming plans on we’re we focused on the

number the of On seats.

value includes So that we’re models better, includes see the consumption customers creating really where and of to our the another customers. nongaming businesses, business our trying for that you’re and we’re going better to that – getting on much monetize effort more subscription really

we just little What that. why add color to a – we don’t

honor we signed. counterintuitive we increased that the existing contracts to last may were it the expect contracts price but price We quarter-to-quarter that year seem game the sequential existing that XXXX. drive growth through So in sector, at

at we date renew a So as termination customers, reach our their price. contracts they existing higher renew and

one pricing year because come the on of things pricing the our – to when it. was this customers despite taken fact growth it’s of is driving year last us that’s for So that

and call, a for framed thing, our it Digital ratable gone years is, our ratable I of What we Twins. third that use-based going lots come. a in that it’s point just at that with which and to to that incremental general availability. expect coming into I up we’ve got for Second – that. was is the in the Digital customers platform, on business quarters Twin has be And platform think to quarter And is major revenue us

So in there’s too. additive that way,

So gets you’re to little more hope that that’s little a – insight. I a what asking

color Thanks for Yes. it. the guys. Appreciate

at Suisse. over Credit Stephen Okay. Ju,

right. All

additional latest So, can for time wondering will us directionally, seen probably before. of which you think game the one. can is media I on if guess, first who guess, you terms the have can in And not onboard and, the but line adopters, What see expectations sectors give here you might that client was you I productization. of product I I also a sectors this base had be a the bidding that’s

be to talk with just that there. a little bit going market So early of that perspective, Maybe Thanks. about about a offer you from a bit little but initial think might you as now, be pricing to go-to-market sales if motion, sort you sort too Weta? to can commentary just productized will of a add able it’s what

But can when artistry, but obviously artistry. the productizing – to and SpeedTree also might add. talking about than professional Weta to that, like more we’re I part of our take in Luis, portion just mean for we although professional want substantial add you is of portfolio So tools it, Weta Ziva

Big that about. we’re be. calls The the interest Weta we right commercializing of you’d to the industry. surprise. year. where And about there’s is, portfolio products number are expect couple customer the film That’s now most game the within in Mark a conversations. talking that a this of already combination been ago, of is point we’ve a and talked Second industry it

a this are around the those but of on expect, had call deals we time well. do But products you year tell if who The now and own won’t in that would negotiating. we tad you that to suspects you don’t bit finding products plan, it’s to we preannounced that see, not commercial we’re I for interest in What least coming markets flight close we’re And the in we our that good according had primary the frame opportunity talking to, to this are we’re anticipated. to the in we’re is likely earlier. internal at process tracking but anticipated, conversations

in So we we a acquire announced it And would them. why made us feels to anticipated we add want going to or it’s good as announcement a word, I’d short to don’t Luis, in you right anything? say sentence, around the now. when

just the It’s we XXX% take that them the cloud consistent that to making years. would to say, expected. we the available and what tools a with It would before. from we’re I two No. customers John, many progress lot to us and one, bring work it’s said make of

you business hear about should soon. So news this

Thank you.

we five another but Tim four or Group]. think minutes, [Macquarie I have Nollen

Great, Can hear guys me? thanks. you

Yes.

it’s these necessarily ironSource the of like I’ve issues color that Come three said terms do you that? the I after combine any a ones in maybe or all you things. from those wonder off, that us color, or you imagine mention or last that way any in Are DSPs it’s need things will integration all first them we the think, on. point. one may issues come well to two you a couple deal. you was know did, year know easy technology give anything could fact? now? going I Relatedly, of bit the give on integration terms Did in Do will with quick us always and gone more wonder good. sorts you help look separately at about completely more I ingestion ironSource because not that just Thanks. on synergies keep got of up, anything the can I I can effort. data of to

more one then maybe comes maybe guess on Aura, where this And is in. I lastly

the You are very and heavily into ironSource sector. gaming both

non-gaming side. on sectors is as it are You businesses well of can base but lot client that have mainly your you Aura services, tech in guess could opportunities given that as what the expand a given other ironSource broader bring create that ad to the touches? gaming, offer I now there the

you for a question. off, get First credit XX-part

So…

Three-part.

it as we to We’ll best remember do our all respond.

We before. data of get in we one first out our way the issue was fact, completed merger, The the before to it. of way announced out the is

rear So mirror. the that was in view

on thing already integrated we’ve teams. integration, second The largely

the by Omer for example grow. is Revenue Officer so way And essentially of Chief

we He’s leadership. providing under him. two so consolidated able And sales organizations

under Ingrid We also consolidated and [indiscernible] team. engineering and products

outcomes are So right delivering our engineering teams sales customers. – teams together, These achieve focus are are singular we working product the the teams brought working are together. on the together the teams together, to for working

data, yield outcome the customers acquisition our questions essentially terms already there essentially our accomplished we’ve that for a user of better around and data primary because better more for same engineering merge In yields customers. can outcomes data so around the

like do an the that would network in we’ve Unity and to applying the that technically the approach of the So Unity minutes already into starting part an ad ironSource this have see we’re network to five – tool define seems achieved way we’ve And ironSource of it done. off, me a situations what might of get into or specifics Network. what first in won’t conversation. network unnecessary to been tools that take was the that’s now these I lay that a where practice because most we’re or to

morning then to based to create I that combined one favorable this a side grow, our we equation of ad was beyond the exact outcome at side from the level. tool just bringing a the through And on a going one network to the higher doing expect they’re equation. of particular for thing that But other in tool have

happening. So that’s

talk relative about to non-gaming. you Aura, Aura

installs it does essentially to is absolutely out know right of point opportunity believe Aura represents around the that gaming. on installs those a puts And you’re you on and us relationships. game driving on carrier For of I gaming in based don’t Unity. That that world and business ads Android outside of applications of devices what the part drives non-game significant for

And of that is But today. are a to specific we plan some be our those create that don’t for something have customers. going

we’ve talked certainly about it. Although

are next focusing to sort platform. So most of quarters conversation on conversation And and more obvious particular things we’ve one and synergies there’s been the that important very is Unity. a internally next quarters that of for end-to-end few that

for Excellent. that. Thanks

I And up. finish slip more in two Okay. and if

then So Franco. first with we’ll start we’ll conclude with Jonathan and

Okay, great. me? hear you Can

Yes.

Yes.

them in answered. my for already Actually, Thanks questions. been of letting most and have get me here ask Great.

sense become strategic before? the operate from you combining to partnerships ask that like create, strategic leave mean, have not to and separate makes wanted behind add would would then to it create, grow. Just and I But the you rationale you operate of stuff why have and some partnerships Thanks.

The better majority where platform. work create their for of pretty platform to the is centric, revenue is create, from a to holder very revenue simple. are These deals derived enable often

sales the and to matching was out deal pattern so structure. different like business. when that. out here. of It we you it for this the to separately add very was held it pieces is was very had We’ve might tried type figure like, a want post-merger, different a more cadence And a this put because create it. much to different to place obvious all But Luis, where it

cause totally synergies teams And the that’s the drives agree, because we John. of Yes. and manage the the one other. together, I

the So to this of at the do, that as driven I to out. volatility need partnerships we thought we call strategic call see beginning be and thing be most that natural would Jonathan, by transparent we’ll where but was we

you. Okay. Great. Thank

All right. why Not finishes don’t the the tee up. not the Franco, it for but – up you last, least,

Yes, Right. John.

that the other the you the scale, currently in guess, you show large some getting the or LevelPlay, from perhaps ironSource to you the publishers new from relationships is times. can and I bigger platforms? new noted you what speak mature about brand lead the talked is players. business and market on leveraging are you some someone your rightfully this to on to more – whether the strategy And are that and of So a of are that to gain side variability is developers Can have,

There’s up summarize reason, from end that I that. of words, back. catch hearing some For like can it lot the on broke my me a half Richard, you the question,

don’t I because same you so... thing the summarize why lost again Franco,

LevelPlay. they big to to gain Okay. customers The platforms? to market? Or the brand get new from a your new publishers what are scale? headset. And the really Are Well, question around need was is I more other mature, strategy in bigger

question, I’d was LevelPlay mention more that I’m players So So couple the to prior platforms the and argue so successful a is the correctly, apologize what is the don’t blocking with I things. now merger, more strategy LevelPlay? I if more you it One richly relative relative your larger but of independent smaller, for Unity with could is players. of fully not to had players. closing strength other that And answer larger again, what we’re doing

LevelPlay. a like feels with somewhat that of So synergy

of you’re games September, obvious I one strategy a many Create was into to year winning Unity thing I last If LevelPlay synergy LevelPlay room customers. the said there how of XXX% things customers. evident their Unity a of out are turned LevelPlay, you about And many of them done percent And And XX-odd in hundreds in speaking in is a for has show the they’ve to Unity integrating customers. thinking is do. of events asked very to was when at one because it never it were the of are mobile built remember, a of Unity. very launch That’s

shopping because big their like, direction already at but so weren’t levels there’s Unity that And customers. all synergy LevelPlay yet they customers. as They were they’re all well in

we to again, does bit version question? me your So I Because get a a here. of issue what asking a got of might were you have about though? garbled network that

offline. No Yes. though. worries. I it could Appreciate it take

to why best attract the that’s it’s market. we if in and what believe out there that back. to market, we that are And – the the performing, LevelPlay before or everything it’s do question market Franco, you your grow share. mediation saw believe we continue in customers think, Frankly, better is I – our expect the we and changed will

So...

by yesterday. customers team we’re platform. the a customer, by portfolio did just I and seeing to Luis name, coming review with And the

we not why, market think we’re engineering we’re it. looking although our for think coming it’s are at our the we teams our over better customers overall, and exact believing that’s share that So migrations implementing.

For that they’re proof coming those us, to reasons. for it’s

market And can in year. both that’s we QX about talk why share and for the gains,

– right. a Kash black diamond slope. double Rangan top All We from

question. So can is the second we Kash –

as so comments. could Wouldn’t you get depending on think going should opportunities Thank bit the the much. on what a future? the CEO how for John, How And you Weta, step market in Unity Thank drives create in are what Software the your the indexed much. bang be advertising for so upon really Gilly’s Thanks the Unity mean of to so little take buck quarter. the what’s these markets, we each your pickup in you through like best back, the of you importance acquisition I’d to the to also Twins. ironSource. side prioritizing anything. in index a relative with about Digital the for over-indexed now as that in and investments Congrats you.

CEO Look, conversation company, want at opportunity know looking of in the Luis front it’s and if the what rich you us. me first principal with at to drives off, this and It’s me officers C-level prioritization. very the as to a between

entertainment. were that economic a a from second of we’ve and go-go that example did that the of a frustrating there have the longer live to different want. recessionary there technology that and shifted place, market correction economic what and a that is different the been in we But programs that customers It’s sports that are is, liked environment is we that. one in were with were An environment in Now deprioritized things we’re environment, market we that tough a things funded. doing several like beautiful no other

artists. Now bigger not because a in the are for better tools. grow that very run artist creators already revenue world business. and and those de-prioritize And Weta, most there’s didn’t opportunity meaningful artistry professional to a a want we coders, there’s stream a They they’re and remember, meaningful there, great

the can and where us. create the for are two made that inside year. Many general, would I But So of is you typically years, a you meaningful grow. in cycles businesses, look quarters. of development times, create at inside on creation and quarters engineering cycle if our new business for multiple product the a certainly multiple be cut certainly tell side, for a that Grow technology the couple

ratable generate Twins, us months twin to that revenue, revenue we was digital allow So created for in cloud-based example, will XX that platform the process. for Digital when

terms of so have different And them look ROI through we a timeframe. in at to lens

cloud we because for Now games best streams the on in ratable drive Twins the for revenue of we the Unity believe usage. to of very through create similar thing fullness revenue around platform the invested in the on The Digital is reason is addition UGS for and way time. based

by and stream already major for our in We We’re paid for customers. a for creating revenue solving were people things. seat second a the looking problem

things core businesses for our games networks things And LevelPlay lot we very us. look are at when businesses, of a profitable today, our like ad so are profitable, and our

prioritize in believe based investment. what be we on them thresholds. to strong ROI And we that remain Some

strong modest how in really this year-over-year. growth and we’re revenue even in that. intellectually to from investments based that’s personally, love prioritize to for hard gaming deliver why environment industry. that, right ROI, gaming industry. based the Now to on we making But emotion. I’m And we’re make resource connected I’ve sure games. the We in we’re spent with It’s our decades is the I’m We I Digital on allocation emotionally look at with right going which and the am important. math. Twins. profit it growth, isn’t reporting think

Great. All much. We quick Well, thank so that bit done a efficient. little but you got late, was right. pretty and

on you various thank the conferences. you lot. or see to So all, Thanks hope we’ll and a road at

all. Thanks

Bye. Good