Electronic Arts reports growth in revenue and profit, says it is in ‘incredible position’ as standalone company
Electronic Arts has released its financial report for the first fiscal quarter ended June 30. The company also noted that it has no consolidation plans and aims to become the “largest standalone independent developer and publisher” globally.
Key takeaways
- EA reported net revenue of $1.76 billion, which is up 14% year-over-year.
- Live services accounted for 80% of the company’s revenue. Full game sales reached $341 million, up 5.9% year-over-year.
- The publisher’s net income was $311 million, up 52.4% year-over-year.
- EA’s net bookings (net amount of all products sold digitally or physically during the quarter) reached $1.29 billion, down 2.7% year-over-year.
- EA’s player base grew to almost 600 million active users at the end of the quarter. It is up 20 million from the previous quarter.
- The company’s net bookings for the trailing twelve months reached $7.47 billion, which is up 22% year-over-year. Live services represented 73% of this sum.
- Electronic Arts CEO Andrew Wilson noted that single-player games are a “really important part” of its portfolio, so the company plans to deliver more single-player experiences on par with live service and online titles.
During an earnings call, Wilson also commented on the possible merger with another company. He thinks that EA is now in an “incredible position” and is on the track to become the “largest standalone independent developer and publisher of interactive entertainment in the world.”
These words make sense when looking at other AAA publishers’ latest financial reports. While giants like Activision Blizzard, Xbox, and PlayStation see their results decline amid a slight recession in the games market, EA finds itself in a strong position.
Wilson noted that Electronic Arts keeps growing as a standalone company, attracting new players and increasing its game sales.
“Our objective always and my objective as CEO of this company is always to take care of our people, our players, and our shareholders,” Wilson said. “And should there ever be a way for us to do that differently the way we’re doing it today, I, of course, have to be open to that. But I would tell you today, we feel very, very confident and excited for our future.”
