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Light & Wonder posted full-year revenue of $3.31 billion for 2025, a 4% increase year-on-year, alongside record consolidated AEBITDA of $1.44 billion, up 16% from $1.24 billion in 2024. Net income fell 18% to $276 million, weighed down by a $128 million legal settlement charge related to the resolution of its IP dispute with Aristocrat, a $25 million contingent acquisition consideration fair value adjustment, and $37 million in costs tied to its ASX listing transition and the Grover charitable gaming acquisition.
The results close out the company’s three-year financial targets cycle and land within the previously guided range of $1.43 billion to $1.47 billion in consolidated AEBITDA and $550 million to $575 million in Adjusted NPATA. Adjusted NPATA came in at $567 million, up 18%, or $6.69 per diluted share, a 27% increase year-on-year.
Q4 Segment Performance
Fourth quarter consolidated revenue reached $891 million, up 12% from $797 million in Q4 2024. All three business segments delivered record AEBITDA in the quarter, with consolidated AEBITDA rising 29% to $405 million. The quarterly net loss of $15 million reflected the $128 million Aristocrat settlement charge and $18 million in ASX transition costs, compared to net income of $107 million in the prior year period.
Gaming was the primary revenue driver, with Q4 revenue up 17% to $602 million. Gaming machine sales reached a quarterly record of 7,000 North American units, generating $234 million, up 20% year-on-year. Gaming operations revenue grew 35% to $237 million, supported by a North American premium installed base that expanded for the 22nd consecutive quarter, adding over 700 units in Q4 to reach 36,692 units. Gaming AEBITDA came in at $323 million, up 26%, with margin expanding 400 basis points to 54%.
The Grover charitable gaming business, acquired in May 2025, contributed $41 million to Q4 Gaming operations revenue and expanded into Indiana as of December 30, 2025. Its installed base stood at over 11,600 devices at year-end, an increase of 345 units sequentially.
iGaming delivered another set of quarterly records, with revenue up 21% to $94 million and AEBITDA up 44% to $36 million. Wagers processed through the Open Gaming System reached $29.2 billion in Q4, up from $24.0 billion in the prior year period. For the full year, iGaming revenue grew 13% to $337 million, with AEBITDA rising 28% to $125 million.
SciPlay revenue declined 4% in Q4 to $195 million, primarily due to a fall in average monthly payers on JACKPOT PARTY Casino. The segment’s direct-to-consumer platform generated $48 million in Q4, representing 25% of total SciPlay revenue, up from 13% in the prior year period. SciPlay AEBITDA grew 8% to $80 million, with margin expanding 500 basis points to 41%, reflecting lower operating costs and DTC growth.
Full-Year Financials
For the full year, Gaming revenue grew 6% to $2.18 billion, with Gaming operations up 25% to $860 million, the largest segment contributor. Gaming machine sales dipped to $821 million from $865 million, while gaming systems revenue fell to $285 million from $302 million. Total Gaming AEBITDA for the year reached $1.16 billion, up 13%, at a 53% margin.
SciPlay full-year revenue fell 3% to $794 million from $821 million, though AEBITDA improved 6% to $288 million, with margin expanding to 36% from 33%. The direct-to-consumer platform generated $150 million for the full year, up from $88 million in 2024, now representing a growing share of total SciPlay revenue.
Free cash flow grew 42% year-on-year to $452 million, from $318 million in 2024. Operating cash flow reached $794 million, up 26%. Capital expenditures totalled $310 million for the year, up from $294 million in 2024, largely to support Gaming operations and Grover unit growth. iGaming processed $109 billion in wagers for the full year, up from $91 billion in 2024.
Capital Allocation and Balance Sheet
Light & Wonder returned $877 million to shareholders through share and CDI repurchases during 2025, including $500 million in Q4 alone. Since its repurchase programme began in March 2022, the company has returned $1.9 billion, representing 25% of shares outstanding prior to commencement. Approximately 78% of the current $1.5 billion authorised programme has been utilised, leaving $336 million in remaining capacity.
Total debt at December 31, 2025 stood at $5.16 billion, up from $3.87 billion at end of 2024, partly reflecting acquisition-related financing. Net debt was $5.04 billion, translating to a net debt leverage ratio of 3.5x, within the company’s targeted range of 2.5x to 3.5x. In January 2026, the company repriced its Term Loan B, cutting applicable interest rates by 25 basis points for an annualised interest cost saving of approximately $5 million.
The Dragon Train litigation with Aristocrat was resolved in January 2026 for $127.5 million. Light & Wonder completed its transition to a sole primary listing on the ASX in November 2025, following its voluntary delisting from Nasdaq.
Management Outlook
We closed out 2025 with another strong quarter, delivering double-digit year-over-year growth in both revenue and cash flows. Looking ahead, we will remain focused on investing in product innovation and talent to strengthen our recurring revenue model, build on this momentum, and enhance our global competitive position as we progress toward our 2028 financial targets.
Matt Wilson, President and Chief Executive Officer of Light & Wonder, made the comments alongside the results. CFO Oliver Chow pointed to deleveraging as the key financial priority for 2026.
We expect to continue deleveraging throughout 2026, supported by the strength of our business profile, absent any high return capital allocation opportunities. Our priorities remain unchanged: disciplined cost management, sustainable margin growth, and continued improvement in both the quality and quantum of cash flows over time.
The company remains committed to its FY2028 financial targets. With the Aristocrat matter closed and ASX transition costs largely absorbed, the path to cleaner reported earnings in 2026 is clearer, though net debt leverage at 3.5x and total debt of $5.2 billion leave limited room for further large-scale capital deployment without additional deleveraging. The iGaming segment’s trajectory, now processing over $109 billion in wagers annually, will be a key focus for investors as recurring revenue mix continues to shift toward digital. The performance of B2B gaming suppliers more broadly has reflected the same pattern in recent quarters, with digital and iGaming divisions outpacing traditional hardware revenue.
Light & Wonder’s full FY2025 results are available in its Form 10-K filed with the SEC and on the ASX.
Source: Light & Wonder, Inc.
