Company: LAWIL
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0000750004-25-000031
Chunk: 125

Company: Light & Wonder, Inc.
Filing Date: 2025-05-07
Form: 10-Q
Item: Part I, Item 2
Chunk 125
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 of products related to new games and systems.

SG&A

SG&A for the three months ended March 31, 2025 remained relatively flat as compared to the prior year period. The change was driven by a $6 million decrease in expenses, primarily consisting of lower salaries and benefits expense of $2 million and lower marketing expense of $2 million, partially offset by higher stock-based compensation of $5 million.

R&D

R&D increased for the three months ended March 31, 2025 as compared to the prior year period, primarily due to higher salaries and benefits in our Gaming and SciPlay segments.

D&A

D&A for the three months ended March 31, 2025 increased primarily due to higher depreciation related to Gaming operations installed base growth and investments.

Restructuring and Other

The increase in restructuring and other for the three months ended March 31, 2025 was primarily due to $7 million in iGaming charges, primarily related to the discontinuation of our iGaming Live Casino operations, and $5 million in costs related to the legal and professional services primarily associated with the acquisition of Grover Charitable Gaming.

Other Factors Affecting Net Income

Three Months Ended March 31,Factors Affecting Net Income(in millions)202520242025 vs. 2024Other income, net$4 $10 The change in other income was primarily due to the impact of changes in foreign currency exchange rates.Income tax expense(1)(23)(18)The increase in income tax expense was primarily due to the increase in worldwide income.(1) For additional information regarding the changes in our effective tax rates and the variance in our income tax expense, see Note 13.

Foreign Currency Exchange (F/X)

Our results are impacted by changes in foreign currency exchange rates used in the translation of foreign functional currencies into USD and the re-measurement of foreign currency transactions or balances. The impact of foreign currency 

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exchange rate fluctuations represents the difference between current rates and prior-period rates applied to current activity. Our exposure to foreign currency volatility on revenue is as follows:

Three Months Ended March 31,20252024($ in millions)Revenue% Consolidated RevenueRevenue% Consolidated RevenueForeign Currency:British Pound Sterling$23 3 %$28 4 %Euro54 7 %48 6 %Australian Dollar24 3 %33 4 %

REPORTABLE BUSINESS SEGMENT RESULTS (for the three months ended March