EA Stock Edges Lower After Earnings, Revenue Miss
2022.05.10 23:31
By Sam Boughedda
Investing.com — Electronic Arts Inc (NASDAQ:EA) posted fiscal fourth-quarter earnings after the close Tuesday, missing quarterly profit and revenue expectations.
The videogame company posted earnings per share of $0.8 on revenue of $1.75 billion, missing forecasts of $1.43 on revenue of $1.77 billion expected by analysts polled by Investing.com.
In its fiscal 2022, EA said net bookings were $7.515 billion, up 21% year-over-year.
“FY22 was a record year, with hundreds of millions of players around the world joining in our games to play, watch, and create with one another,” said Andrew Wilson, CEO of Electronic Arts.
The company said the year’s revenue and profit growth was driven by its live services business which was 85% of net bookings in Q4.
EA declared a quarterly cash dividend of $0.19 per share.
The company expects net revenue for fiscal 2023 to be between $7.6 billion and $7.8 billion. Diluted earnings per share is expected to be approximately $2.79 to $2.87.
For the first quarter, EA sees revenue between $1.67 to $1.72 billion, with diluted earnings per share for the quarter from $0.76 to $0.85.
EA stock is down 0.1% in extended trading.
Earlier Tuesday it was revealed EA will stop making its renowned Fifa branded football game after the company and football governing body were unable to come to an agreement on licensing.
