The Electronic Arts (EA) company has reported about two days ago that its second quarter has resulted with significant dips, although it has still beaten the earnings and revenue forecasted in set for the investors.
Since the 3 months have ended on the 30th of September, EA has reported its net revenues have lowered down by 15% to $1.15 billion, with its net income lowered down by 88% to $185 million. The net bookings have been lowered down by 31% to $910 million, according to gamesindustry.
There have been a couple of diminishing factors for the numbers, though. On the net income, the total of last year has gone high as it was all thanks to a tax benefit of one-time that the company has recognized.
Any further than that, the bookings and revenue declines could also be attributed in the part of EA modifying the release schedule that was annualized. The second quarter of last year has included Sea of Solitude, Madden, NHL, and FIFA. Although, the releases of NHL and FIFA within this year have slid to the third quarter.
In the place they are in for the second quarter of this year, EA had a prepared lineup of UFC 4, Madden (which has been launched nearly four weeks into the quarter of this year compared to last), Star Wars: Squadrons, and Rocket Arena.
In regards to how the lineup has gone, EA stated the first-week sell-through of the Madden 21 has raised up by 20% year by year, while the Squadrons have “performed way above what was expected,” without any numbers provided.
In the announcement of an extension to the licensing deal of UFC today, it has also noted the UFC 4 for being the most successful game of UFC up to date, although it has not been proven by any numbers or metric.
Regarding the rest of their business, EA stated that the Apex Legends bookings have risen up to 24% year by year within the quarter, having the game track on top for about $1 billion in the revenues for a lifetime by the end of the fiscal year of EA at the 31st of March, earning more than $500 million just from within the fiscal year.
The Ultimate Team modes of EA Sports have also seen the base of their players grow by 25% year by year up to more than 30 million of the players in total.
The subscription service of EA Play has also grown, having a total of 6.5 million subscribers who pay thanks partly to its debut in Steam during the past quarter. It has been expected that their user base will grow much more significantly as it will wrap up in the Game Pass subscriptions of Xbox starting by the following week.
While the revenues of the live services have actually increased up by 13% to $869 million, the sales for full games have declined down to a bit more than half of $282 million to $282 million itself.
Looking into playing games in prevention of boredom? UFC 4 and NFS Heat for a thrilling experience during leisure time.