Company: LAWIL
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0000750004-25-000048
Chunk: 69

Company: Light & Wonder, Inc.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 69
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 Cost of products106 125 (19)(15)%206 233 (27)(12)%SG&A208 220 (12)(5)%425 438 (13)(3)%R&D64 66 (2)(3)%129 128 1 1 %D&A99 87 12 14 %190 173 17 10 %Restructuring and other17 34 (17)(50)%37 40 (3)(8)%Total operating expenses$607 $643 $(36)(6)%$1,211 $1,235 $(24)(2)%

Cost of Revenue

Total cost of revenue for the three and six months ended June 30, 2025 decreased primarily as a result of lower cost of products on lower revenue.

SG&A

SG&A decreased $12 million and $13 million for the three and six months ended June 30, 2025, respectively, as compared to the prior year periods. The change was primarily driven by lower bad debt expense of $8 million and $10 million, respectively, as a result of certain recoveries, and lower salaries and benefits of $4 million and $1 million, respectively.

D&A

D&A for the three and six months ended June 30, 2025 increased primarily due to depreciation related to Gaming operations installed base investments and growth as well as D&A associated with assets acquired from the Grover acquisition.

Restructuring and Other

The decrease in restructuring and other for the three and six months ended June 30, 2025 was primarily due to a $32 million charge related to certain legal matters in the three months ended June 30, 2024, partially offset by an increase in costs related to strategic review and related transactions, including legal and professional service fees associated with the acquisition of Grover of $9 million and $14 million for the three and six months ended June 30, 2025, respectively, and $2 million and $9 million, respectively, in iGaming charges, primarily related to the discontinuation of our iGaming Live Casino operations.

Other Factors Affecting Net Income

Three Months Ended June 30,Six Months Ended June 30,Factors Affecting Net Income(in millions)20252024202520242025 vs. 2024Other (expense) income, net$(1)$8 $4 $18 The change in other