ASX shares of Light & Wonder fall to nearly 3-year low on earnings miss

Light & Wonder

07/05/2026 03:48

** ASX shares of Light & Wonder LNW.AX slip as much as 13.6% to A$96.79, lowest since July 7, 2023

** Gaming company reports Q1 adjusted EBITDA of $327 million, ~5% below Citi consensus and ~4% below Visible Alpha consensus

** Citi says co's social games division SciPlay, step-up in corporate costs led to earnings miss

** Estimates adverse impact of ~$70 million to FY26 AEBITDA from U.S. tariffs, changes in UK iGaming taxes, strategic investments, legacy costs

** However, co's Q1 gaming AEBITDA of $271 million came in-line with Citi forecast

** Jefferies says momentum in gaming ops continues, with "pleasing installs"

** YTD, LNW down 34%

 (Reporting by Shruti Agarwal in Bengaluru)

 ((Shruti.Agarwal@thomsonreuters.com))