Electronic Arts Finishes Fiscal Year With Record ‘Madden NFL' Growth, but Projects Harder First Quarter
Electronic Arts Finishes Fiscal Year With Record ‘Madden NFL’ Growth, but Projects Harder First Quarter
EA reported its fourth-quarter and full fiscal year 2024 earnings Tuesday, revealing results that matched the video game company’s own guidance and analysts’ estimates, but forecasts for harder quarters ahead.
Full game sales between Jan 1 and March 31 of this year were $333 million (down from $372 million in the comparable Q4 fiscal 2023 quarter), while live services and “other” revenue totaled $1.45 billion (down from $1.5 billion a year ago, and from last quarter’s record growth of $1.7 billion).
Profit for the quarter was $182 million compared to a loss of $12 million in Q4 2023.
Wall Street forecast earnings per share (EPS) of $1.52 on $1.66 billion in revenue, according to analyst consensus data provided by LSEG, formerly Refinitiv. EA reported adjusted EPS of $1.37 on $1.78 billion (down from $1.87 billion year over year) in revenue. Net bookings were $1.67 billion (down from $1.95 billion). All results were in line with EA’s own guidance.
Net bookings for the entire fiscal year 2024 (which ran April 1, 2023-March 31, 2024) were $7.4 billion (up 1% from the previous year) and revenue was $7.6 billion, in line with guidance between $7.3-7.7 billion and slightly under Wall Street analysts’ estimates at $7.7 billion.
Per EA, the “Madden NFL” franchise saw record net bookings for the year, up 6%, and double-digit growth in weekly average users for “Madden NFL 24” and “Madden Mobile.”
Looking ahead to fiscal year 2025, EA expects net revenue between $7.1 and $7.5 billion. Net income is projected to be $904 million to $1.1 billion.
For the first quarter of fiscal 2025 (which runs April 1-June 30 of this year), EA expects revenue of $1.58 to $1.68 billion and EPS of 73 to 90 cents. Net bookings are estimated between $1.15 and $1.25 billion.
Those projections come in comparison to Q1 fiscal 2024, which benefited from the World Cup and the release of “Star Wars Jedi: Survivor.”
“This year, EA delivered bigger, bolder world class entertainment that engaged and connected hundreds of millions of players and fans,” EA CEO Andrew Wilson said in a letter to shareholders. “We will continue to build on this strong momentum through an incredible pipeline of new experiences, starting with college football in FY25, positioning us for accelerated growth in FY26 and beyond.”
EA CFO Stuart Canfield added: “EA’s FY24 was highlighted by record cash flow and strong earnings growth driven by ‘EA Sports FC’ and ‘Madden NFL.’ With strong conviction in our future, we are announcing an expanded stock repurchase program. We look forward to sharing more about our long- term strategy and financial framework at our Investor Day this fall.”
EA stock closed Tuesday at $130.24 per share. The regular U.S. stock markets will reopen at 9:30 a.m. ET.
Wilson, Canfield and other EA executives will host a conference call at 4 p.m. ET to discuss the quarter in greater detail.
More from Variety