EA lifts annual sales forecast on boost from stuck-at-home gamers

EA lifts annual sales forecast on boost from stuck-at-home gamers

The Electronic Arts Inc., logo is displayed on a screen during a PlayStation 4 Pro launch event in
FILE PHOTO: The Electronic Arts Inc. logo is displayed on a screen in New York City, U.S., September 7, 2016. REUTERS/Brendan McDermid/File Photo

REUTERS: Electronic Arts on Thursday (JUl 30) raised its full-year forecast for adjusted revenue after beating quarterly estimates, encouraged by strong player engagement and increased videogame sales to stuck-at-home gamers.

EA, popular for titles like "Star Wars Jedi: Fallen Order" and "Battlefield", raised its full year adjusted revenue outlook to about US$5.95 billion from about US$5.55 billion, topping analysts' estimates of US$5.61 billion, according to Refinitiv IBES data.

Videogame sales have largely benefited from people who played more games while staying at home and bought virtual in-game content across platforms, pushing June sales up 26 per cent to US$1.2 billion, which is the highest June spend in over a decade according to research firm NPD.

However, EA had earlier pushed the launch of its annualised football title FIFA 21 to October, the start of its third quarter, which dragged current quarter adjusted revenue forecast of about US$875 million below Street estimates of US$1.29 billion.

Adjusted revenue for the first quarter ended Jun 30, rose to US$1.39 billion, beating analysts' estimate of US$1.05 billion.

Source: Reuters