How Is Light & Wonder Driving 78% Net Income Growth Amid ASX Listing Shift?

Strong Financial Momentum

Light & Wonder, Inc. (NASDAQ and ASX – LNW) reported a solid third quarter for 2025, showcasing a 3% rise in consolidated revenue to $841 million and a striking 78% jump in net income to $114 million. This performance reflects the company’s disciplined execution and the strength of its gaming portfolio, with net income per share soaring 89% to $1.34 compared to the prior year.

The company’s adjusted net profit after tax and amortization (NPATA) also grew 25% to $153 million, underscoring improved operational efficiencies and margin expansion across its business segments.

Gaming and Digital Growth Drivers

Gaming operations remain a key growth engine, with revenue up 4% to $558 million, buoyed by a 38% increase in gaming operations revenue. The North American premium installed base expanded for the 21st consecutive quarter, reaching nearly 36,000 units, reflecting sustained demand for Light & Wonder’s COSMIC and HORIZON cabinets and popular game franchises.

Digital channels also delivered record results. iGaming revenue surged 16% to $86 million, supported by first-party content proliferation and an expanding partner network, while SciPlay’s direct-to-consumer revenue grew to 20% of its total revenue despite a slight overall decline. The integration of Grover charitable gaming added $40 million in revenue, with over 11,250 active devices contributing to the installed base.

Capital Management and Debt Refinancing

Light & Wonder returned $111 million to shareholders through share repurchases during the quarter, bringing total buybacks since March 2022 to $1.5 billion, representing 21% of outstanding shares. The company retains $735 million in remaining repurchase capacity and signaled intent to accelerate buybacks while maintaining liquidity.

In a strategic move to strengthen its balance sheet, Light & Wonder issued $1 billion of senior unsecured notes due 2033 at a 6.25% interest rate, using proceeds to retire $700 million of 2028 notes and reduce borrowing costs. This extension of debt maturity and interest rate reduction enhances financial flexibility amid ongoing growth investments.

Transition to Sole ASX Listing

The company is on track to complete its transition from a dual listing on Nasdaq and the ASX to a sole primary listing on the ASX, simplifying its capital structure and increasing its profile in the gaming-focused Australian market. As of early November, 57% of shares have been converted to CHESS Depositary Interests tradable on the ASX, signaling strong shareholder support.

CEO Matt Wilson emphasized the company’s commitment to innovation and long-term growth, highlighting the robust content pipeline showcased at industry events and the successful integration of Grover into its omni-channel strategy, including readiness for Indiana’s upcoming charitable gaming market launch.

Outlook and Strategic Focus

Light & Wonder maintained its full-year 2025 guidance, targeting consolidated adjusted EBITDA between $1.43 billion and $1.47 billion and adjusted NPATA between $550 million and $575 million. CFO Oliver Chow reiterated confidence in the company’s operational execution, cash flow generation, and disciplined capital allocation, underscoring a commitment to shareholder value creation.

With strong cash flow, a diversified product portfolio, and strategic initiatives underway, Light & Wonder appears well-positioned to capitalize on evolving gaming trends and regulatory opportunities.