Electronic Arts has announced preliminary financial results for the third fiscal quarter of 2025, highlighting a revised outlook for the fiscal year ending March 31, 2025.
The company faces challenges in maintaining growth, particularly in its Global Football franchise.
Slowing Growth in Global Football
Franchise Momentum Declines
Global Football, a key franchise for EA, has experienced a slowdown in growth. After two years of double-digit net bookings increases, the franchise’s momentum did not sustain through the fiscal third quarter. EA now projects a mid-single-digit decline for the fiscal year.
Impact on Financial Projections
The decline in Global Football has led EA to adjust its financial projections. The company expects net bookings of approximately $2.215 billion for the third quarter and has revised its fiscal year 2025 outlook to a range of $7.000 billion to $7.150 billion.
Dragon Age and EA SPORTS FC 25 Underperformance
Player Engagement Falls Short
Dragon Age: The Veilguard engaged around 1.5 million players during the quarter, falling nearly 50% short of expectations.
Similarly, EA SPORTS FC 25 did not meet net bookings expectations, impacting overall performance.
CEO and CFO Statements
EA CEO Andrew Wilson acknowledged the underperformance but expressed confidence in the company's long-term strategy. CFO Stuart Canfield emphasized a balance between investment and operational discipline, anticipating growth with new franchise launches in FY26.
Upcoming Financial Announcements
Details of Q3 Results Release
EA will officially announce its third fiscal quarter results on February 4, 2025. A conference call will be held to discuss these results and the financial outlook, available via dial-in and webcast.
>>> Event Details
Forward-Looking Statements
The preliminary results are subject to change, as they are based on current information. EA's forward-looking statements are not guarantees of future performance and may differ from actual results due to various risk factors.
Editor's Comments
EA's revised outlook reflects the complexities of maintaining growth in a competitive gaming industry. The slowdown in Global Football and underperformance of key titles highlight the challenges faced by established franchises.
However, EA's commitment to long-term growth and strategic investments could position it well for future success, particularly with anticipated new releases in FY26.
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