Light & Wonder to Relinquish Nasdaq Listing as Revenue Slips
Light & Wonder has reported a slight decline in consolidated revenue for the second quarter of 2025, marking the end of a 16-quarter streak of annual growth. The company posted total revenue of $809 million for the period, representing a 1% decrease compared to the same quarter last year. The dip was attributed to more cautious purchasing behavior and delayed capital expenditure by some customers, which affected the timing of game sales.
LISTEN TO THIS ARTICLE:Despite the revenue contraction, the group's consolidated adjusted EBITDA rose by 7% year-on-year, reaching $352 million. This growth extended its record to 14 consecutive quarters of adjusted EBITDA increases. Adjusted NPATA also improved, climbing 4% from the prior year to $135 million.
Related: Light & Wonder Receives UAE Gaming-Related Vendor LicenseThe company's Gaming segment remained the largest revenue driver, although revenue fell 2% annually to $528 million. Adjusted EBITDA for this segment increased by 3%, reaching $280 million. Within the Gaming division, Gaming Operations performed strongly, with revenue up 19% year-on-year to $209 million.
This growth helped offset declines in other categories, including a 16% drop in gaming machine sales to $191 million and an 11% decline in gaming systems revenue to $73 million. Table products revenue saw a modest 2% increase to $55 million.
The rise in Gaming Operations was linked to an expansion of 845 units in North America's installed base. The reduction in machine sales was influenced by global macroeconomic uncertainty, the timing of the hardware refresh cycle in Australia, and the scheduling of sales into Asian markets. The systems revenue drop was tied to elevated hardware replacement sales in the prior year, although software revenue saw growth. Table products improved due to strong international sales.
SciPlay, the group's social gaming division, recorded a 2% year-on-year decline in revenue, totaling $200 million. However, adjusted EBITDA for the segment increased by 6% to $74 million. The average revenue per daily active user rose by 4% to a record $1.08, while the average monthly revenue per paying user climbed 10% to $128.96. The direct-to-consumer platform generated $35 million during the quarter, representing 18% of SciPlay's revenue.
In the iGaming segment, revenue reached a record $81 million, supported by continued growth in North America. Adjusted EBITDA rose 17% to $28 million. The OPENGAMING system processed $26.6 billion in wagers during the quarter, a 22% increase compared to the same period last year.
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R&D Still a Priority amid Shift Away from Nasdaq
Company leadership stated that continued investment in research and development remains a priority, with an emphasis on expanding high-performing content across multiple channels. Management also noted the growth in the North American installed base and daily revenue as key outcomes of current strategic initiatives. Executives pointed to the benefits of a diversified business model and disciplined execution, with margin expansion supported by operational optimization across digital, content, and platform innovation.
During the quarter, Light & Wonder finalized the acquisition of Grover Gaming's charitable gaming assets. The transaction involved $850 million in cash and includes a four-year revenue-based earn-out of up to $200 million, also in cash. The acquisition was described as a significant step in strengthening the group's position in the charitable gaming market.
The board of directors has also approved the company's delisting from the Nasdaq, which is expected to be completed by November 2025. Once finalized, Light & Wonder's sole primary listing will be on the Australian Securities Exchange.
The company said the move reflects the concentration of its investor base and aligns with its long-term strategic interests. Leadership emphasized that the ASX listing offers investors the opportunity to engage with a global growth company that maintains strong fundamentals, leading market positions in core segments, expanding margins, and robust recurring revenues and cash flows.
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