Electronic Arts has recently disclosed its financial results for the third quarter of fiscal year 2024, covering the period ending on December 31, 2023. The company experienced moderate growth in its top-line figures, while the bottom line showed a significant increase, surpassing the company’s projected range.
Here are the key numbers from the earnings report:
- Revenue: $1.95 billion (a 3% increase year-over-year)
- Net income: $290 million (a 42% increase year-over-year)
- Net bookings: $2.37 billion (a 1% increase year-over-year)
Highlights from the report include overall growth in key performance indicators for the holiday quarter. Notably, EA Sports FC stood out, exceeding expectations. EA CFO Stuart Canfield remarked on the success of EA Sports FC 24, which launched in September, achieving a 7% year-over-year net bookings growth. The franchise maintained momentum through the brand transition following EA’s departure from FIFA.
Canfield emphasized the company’s commitment to building on its portfolio’s strengths and prioritizing investments in opportunities for multi-year growth. The Madden franchise also demonstrated positive financial performance, with a 5% year-over-year growth in net bookings during the third quarter.
In terms of revenue composition, EA’s live services reached a new record for the company, contributing $1.71 billion in Q3 revenues, reflecting a 3% year-over-year increase. Live services now constitute 73% of EA’s total revenues.
Contrastingly, full game sales experienced a 5% year-over-year decline to $654 million, marking a 27% decrease from the third quarter two years ago. The major releases for Q3 included NHL 24, UFC 5, and WRC 23, in contrast to the previous year’s NHL 23 and Need for Speed Unbound, and the lineup from two years ago featuring NHL 22 and Battlefield 2042.
Looking ahead, Electronic Arts adjusted its full-year forecasts slightly, with net revenues expected to fall between $7.41 billion and $7.71 billion. Net income is projected to range from $1.15 billion to $1.27 billion.
