Stock:
Symbol Lookup
Register | Login
...
History
...
...

Pre Market | Dow Jones | Gold | Newsletters | Learn

Yes, 3x ETFs are Awesome!
Like TNA, UGAZ, UWTI, NUGT? We do too...Join Up!
100% secure: your email is never shared, and you may opt out at any time.

Electronic Arts Reports 28.5% Dip In Revenue, Outlook Weak (EA)

Thursday, January 31, 2013 3:58 AM
Shares of Electronic Arts Inc. (NASDAQ: EA) slipped in aftermarket trading on Wednesday after the video game maker provided lackluster outlook on fiscal 2013 even as revenue in the fiscal third quarter, which is typically strong period for retailers due to holiday season, fell short of Street’s expectation. A bearish outlook is not totally surprising since the video game industry is struggling with dwindling demand for games due to proliferation of smartphones and tablets. Key Points
  • Adjusted earnings however barely managed to beat analysts forecast
  • For the fiscal ending March, the Company is expecting non-GAAP revenue of $3.8 billion to $3.9 billion and earnings of $0.86 to $1.00 per share compared to its earlier guidance of $1.00 to $1.15 a share
According to Electronic Arts’ Chief Financial Officer, Blake Jorgensen, earnings outlook was downwardly revised after taking into account macroeconomic uncertainties in the quarter ending March—which is also a traditionally weak season for the video game industry. Now in order to counter dwindling sales, the company is relying on several high profile releases which will hit the market in coming days. Electronic Arts will be releasing four new games in the fourth quarter which include “SimCity" in March, and action-horror title "Dead Space 3", scheduled to be released next week. Besides, the Company is increasing its traction in digital games business in order to reduce its dependency in traditional console games business. For the quarter ended December 31, the company reported net revenue of $922 million, compared to $1.06 billion in the year earlier quarter.  Net loss stood at $45 million, or 15 cents a share, compared with $205 million, or 62 cents a share, in the same period of last year. Adjusted revenue stood at $1.18 billion, falling 28.5% from the year earlier quarter, and also falling short of analysts’ forecast for $1.29 billion, according to data compiled by Thomson Reuters. Adjusted earnings came in at 57 cents a share, a penny above analysts’ expectation.      
PRINT

FREE Options Trading Lessons
I'll show you how to unlock HUGE Gains with Options Trading
Let's make 2015 the year you get RICH!

Latest Headlines

EU trade negotiators aim for 2016 U.S. trade pactEU trade negotiators aim for 2016 U.S. trade pact
BRUSSELS (Reuters) - European negotiators are aiming to finalize a trade pact with the United States in 2016 in "an optimistic scenario", EU Trade Commissioner Cecilia Malmstrom said on Tuesday. If ...
Kellogg sales beat estimates as it sells more in LatamKellogg sales beat estimates as it sells more in Latam
(Reuters) - Corn Flakes and Rice Krispies maker Kellogg Co <K.N> reported better-than-expected quarterly net revenue as higher sales in Latin America made up for lower demand for its cereals and...
TeamHealth to buy IPC Healthcare in $1.6 billion dealTeamHealth to buy IPC Healthcare in $1.6 billion deal
(Reuters) - TeamHealth Holdings Inc <TMH.N>, which supplies doctors to U.S. hospitals, said it would buy IPC Healthcare Inc <IPCM.O> in a deal valued at $1.6 billion. TeamHealth is offer...
Drugmaker Shire bids $30 billion for Baxter spin-off BaxaltaDrugmaker Shire bids $30 billion for Baxter spin-off Baxalta
LONDON (Reuters) - Drugmaker Shire <SHP.L> said on Tuesday it was seeking to buy Baxalta <BXLT.N>, a company spun-off by Baxter International <BAX.N> last month, for $30 billion to...
Shire proposes $30 bln all-share tie-up with BaxaltaShire proposes $30 bln all-share tie-up with Baxalta
LONDON (Reuters) - London-listed pharmaceutical group Shire <SHP.L> said it was seeking to buy U.S. firm Baxalta <BXLT.N> in a $30 billion all-share deal to create a global specialist in m...

Loading Headlines...
 

Stock Market

Track the stock market today with the latest news and information on all things investing! Watch your stocks perform throughout the day and watch the breaking stock market news.

Feedback | disclaimer | privacy policy

Stock Market News

The Stock Market is ever changing. Keep up on your stock market news.

Stock Market Newsletters

Read up on your favorite stock market newsletters.


Learn the Stock Market

Sharper your stock trading skills with our stock market education section.