Electronic Arts has published its financial report for the second quarter, which ended on September 30—the past three months turned out to be record-breaking for the publisher thanks to the success of sports simulators. However, there were some games that EA was ready to put in the corner.
Q2 FY25 Results
The company reported revenue rose to $2.025 billion from $1.914 billion a year earlier, up 8% from last year’s quarter. At the same time, Electronic Arts’ profit fell from $399 million to $294 million, a 26% drop. Net bookings are also upward, at $2.1 billion, up 15% (a record for the second quarter).
For the full year, the company expects to report revenue of $7.4-7.7 billion and earnings in the neighborhood of $1.019-1.156 billion.
The primary source of growth was games-services, which accounted for 60% of revenues. They brought the company 1.24 billion dollars – 10% more than a year earlier.
Distribution by platform
The distribution of revenues by platform is as follows: the most significant share is occupied by consoles – 1.48 billion dollars (+29%), in second place PC (327 million dollars, -16%) and, finally, mobile devices (270 million dollars, -3%).
New releases
American soccer games, including Madden NFL and College Football franchises, remain the growth drivers. The Sims 4 also saw audience growth, with the number of players increasing by 15 million over the year.
In a call with investors, EA noted that Apex Legends’ quarterly revenue fell short of expectations due to changes to the combat pass. That said, the company plans to further develop the game by continuing to make point changes to the product and monetization.
EA declared a quarterly cash dividend of $0.19 per share of the company’s common stock. The dividend is payable on December 18, 2024, to stockholders of record as of the close of business on November 27, 2024.
In the current quarter, EA will build on the already released EA Sports NHL 25 and Dragon Age: The Veilguard, which will be released on October 31. Judging by the presentation, only an unannounced partner title will launch in the fourth quarter.
If we believe analyst Daniel Ahmad, behind the screen, may hide a new game, Hazelight Studios.
