Electronic Arts Earnings: Here’s Why Investors Are Mixed
Electronic Arts Inc. (NASDAQ:EA) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are flat.
Electronic Arts Inc. Earnings Cheat Sheet
Results: Net loss of $45 million (net loss of 15 cents per diluted share) in the quarter versus a net loss of $205 million in the year-earlier quarter.
Revenue: Decreased 13.1% to $922 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Electronic Arts Inc. reported adjusted net income of 56 cents per share. By that measure, the company beat the mean analyst estimate of $0.56. It missed the average revenue estimate of $1.29 billion.
Quoting Management: “Despite a challenging quarter, we were able to deliver non-GAAP EPS at the high end of our guidance range,” said Chief Executive Officer John Riccitiello…