Media

Electronic Arts Slides Despite Q2 Earnings Beat

Electronic Arts logo
Public domain / Wikimedia Commons

Electronic Arts Inc. (NASDAQ: EA) released its fiscal second-quarter earnings report after the markets closed on Tuesday. The firm posted $0.83 in earnings per share (EPS) and $1.29 billion in revenue. Thomson Reuters has consensus estimates that are calling for $0.58 in EPS and $1.18 billion in revenue. The same period from last year had $0.62 in EPS and $1.18 billion in revenue.

During the quarter, digital net bookings for the trailing twelve months was a record $3.608 billion, up 11% year-over-year and represents 69% of total net bookings.

Looking ahead to the fiscal third quarter, EA expects to see EPS of $0.61 and revenue of $1.375 billion. Consensus estimates are calling for $2.42 in EPS and $2.0 billion in revenue for the coming quarter.

Andrew Wilson, CEO, commented:

It was a strong second quarter, as we entertained players with four high-quality new EA SPORTS games, hundreds of content updates in our live services, and esports programs that reached record viewership. We’re incredibly excited to bring innovative new games like Battlefield V and Command & Conquer: Rivals to our players this holiday season, and launch our breakthrough new IP Anthem in February. We’re set to deliver some amazing new ways to play and compete through the rest of this fiscal year and beyond.

Shares of EA closed Tuesday at $94.83, with a consensus analyst price target of $139.29 and a 52-week range of $89.12 to $151.26. Following the announcement, the stock was initially down about 3% at $91.77 in the after-hours session.

Want to Retire Early? Start Here (Sponsor)

Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?

Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.

Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.