EA touts record quarterly revenues

Sports games help EA ring up $784 million; publisher delays Army of Two, Crysis, reveals next-gen Black, movie-based <i>Simpsons</i>, Road Rash, Wii Sims, new Lord of the Rings, new SimCity, Sims 3.

In yet another sign that the transitional slump between console generations is all but over, the biggest third-party publisher in the world announced today that it racked up its biggest second-quarter take ever.

For the three months ended September 30, 2006, Electronic Arts racked up total revenues of $784 million, a jump of 16 percent over 2005's second-quarter haul of $675 million. The publisher attributed the numbers to the launch of the latest installments of its annual sports games--Madden NFL 07, NCAA Football 07, FIFA 07, NBA Live 07, and NHL 07. In an investor conference call, EA execs noted that NCAA Football 07 sold an all-time high of 2 million copies in the quarter, and that the company's NHL series was having its strongest year ever.

Broken down by platform, the increase was attributable to gains in the Xbox 360 and mobile sectors. The $166 million brought in by EA's Xbox 360 games accounted for 21 percent of the company's total revenue, and more than made up for declines in the current-gen platforms. The publisher also boasted that it is now the number one publisher for Microsoft's next-gen platforms year-to-date in both North America and Europe.

While Electronic Arts' revenues for the quarter broke records, its net profits did not. Last year the publisher posted bottom-line gains of $51 million; this year it had to settle for a take-home of $22 million.

For the current quarter, EA expects to bring in revenues between $1.2 billion and $1.3 billion, with projections for the full fiscal year ending March 31, 2007 being ticked up to the $2.95 billion to $3.13 billion range from $2.8 billion to $3 billion.

Those projections were moved up despite the shuffling of two big-name titles out of the company's release calendar through March. In the conference call, EA confirmed that the Xbox 360 and PlayStation 3 action game Army of Two and the PC sci-fi first-person shooter Crysis have both been delayed until the next fiscal year, meaning they won't be released before April of 2007.

The company mentioned a number of projects beyond the current fiscal year that are sure to boost revenues as well. In addition to a Sims game being developed specifically for the Wii, the publisher has a new Road Rash under way, a game to accompany the movie version of The Simpsons, new Lord of the Rings and SimCity games, and a next-gen version of Black. Finally, EA also confirmed that The Sims 3 is in development, with a likely fiscal year '09 (April 1, 2009-March 31, 2010) release date.

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Discussion

89 comments
Bradley7777
Bradley7777

I wanna see what the next-gen Black is like

hitman498
hitman498

By The Time 2010 Comes Around I'll Be 15

batosaisilver
batosaisilver

Wacth yorself, EA... I'd hate to see such a fine company (in the overall scope of things) take a big dive from their great hieght. 'I motivate them with things like donuts, and the possibility of MORE donuts to come.' -Homer (Simpson)

lahoor
lahoor

wow i love this game

Hekynn
Hekynn

dude I saw Army of Two Trailers they look freaking awsome!!!!!!!!! Grrr cant wait to get my Ps3 lol

Autolycus
Autolycus

if developers that makes games for EA are gamers(which i hope to god they would be), then they would be on these forums and would hear us. therefor they might actually speak up or change 1 little thing in one of there gazillion clones and then, out opinion made a difference. Not fighting at all is jlike voting for the republicans. you knows its stupid but you just dont care about anybody including yourself...

VolcanoMan001
VolcanoMan001

Another LotR game?? Can they milk that license any more!?? Go on everyone and keep buying EA's games, so they can keep making the same old tired crap.

Jeff_Boldt
Jeff_Boldt

"""In terms of games sold worldwide on a year to year basis, EA have been the largest the last few years. This year, however, Nintendo will take the #1 position as the worlds largest GAMES publisher. In terms of # of games sold. And btw: Nintendo posts $456.6 million profit for the first half year. Dont think EA comes even close to that number. And NO, revenue and profits are 2 VERY different things where profits is what is most important...by far! ..so by comparison, EA's $22 million profit doesnt sound too impressive anymore, does it""" EA vs. Nintendo is a pretty skewed comparison, publisher vs. producer/developer/distributer/manufacturer. ... 22 million is fairly impressive considering the fickle gaming market, beyond that with net profits higher with the higher calibur of games it would lead me to believe that EA is regaining more of the market through their quality releases, I would expect profit to go up from here.

f789790
f789790

How can EA delay crysis. First spore then crysis! I am going to go crazy! How can they expect to make money if they keep delaying games for no reason? ITS REDICULOUS!!!!!!!!!!!!!

NagaSadow
NagaSadow

LOL! I see u folks really know ure stuff here...NOT! In terms of games sold worldwide on a year to year basis, EA have been the largest the last few years. This year, however, Nintendo will take the #1 position as the worlds largest GAMES publisher. In terms of # of games sold. And btw: Nintendo posts $456.6 million profit for the first half year. Dont think EA comes even close to that number. And NO, revenue and profits are 2 VERY different things where profits is what is most important...by far! ..so by comparison, EA's $22 million profit doesnt sound too impressive anymore, does it:P

evolutionex
evolutionex

EA Should lose the make-a-quick-buck attitude and bring out some real good games, every game that comes out of the hellhole, i mean EA, is flawed and bugged, and if that's not enough, they've started to bundle Spyware with their games, EA is like a plague, it toxicates any thing it contacts with. i pity crytek.

mrjasler
mrjasler

VegetaMaelstrom do you really think EA cares what we think? or what you just rambled on about.. I doubt it. quit trying to think that your opinion matters.

VegetaMaelstrom
VegetaMaelstrom

mrjasler: "the fact is.. if EA's games still sell well then they can do whatever they want.. they can rehash a game, they can re-release game that is weak. Who cares what we think.. The gamespot forums and people who post here represent such an insignificant number and importance that it really doesn't matter what any of us think.. just live with it." That kind of nonchalant attitude just encourages companies like EA to wallow in mediocrity. If gamers want to see publishers strive for bigger and better things then we have to let our voices be heard. We also have to let companies know when we think they are doing a poor job. To do nothing is to give EA a passing grade by default and I think that there is all kinds of room for improvement starting with getting some morals when it comes to microtransactions on Marketplace. It has gotten downright shameful with Tiger Woods, Godfather and Need for Speed: Carbon. And don't even get me started on that BF2142 spyware fiasco.

mrjasler
mrjasler

the fact is.. if EA's games still sell well then they can do whatever they want.. they can rehash a game, they can re-release game that is weak. Who cares what we think.. The gamespot forums and people who post here represent such an insignificant number and importance that it really doesn't matter what any of us think.. just live with it.

rgsniper1
rgsniper1

"The publisher also boasted that it is now the number one publisher for Microsoft's next-gen platforms year-to-date in both North America and Europe." --- Well good for you EA, now take that prestigious honor and start acting like it means something to you. Stop putting out buggy games that ruin your console, milking people for all the wrong microtransactions, beating a dead horse with game rehashes and being a lowlife in general. Thanks.

JBBJR
JBBJR

Guess what....NFL2K in no more.....get over it and get on with your life. If you love it so much....play it brother but keep it to yourselves. You had plenty of time now to get over it........move on.

mrjasler
mrjasler

some of you just ooze gamer fanboyism syndrome.. it's like your head is stuck in the clouds and don't see the bigger picture. Now your telling me that any game publisher other than EA would turn down the opportunity to sell 5 million copies of a game that wasn't that much different to last year? I think every company , anyone would do exactly the same thing as EA. I know you love your games.. but cmon.. get a grip in reality here.. If you can make that much money by releasing a game with just some new features and players then don't tell me you wouldn't do it too...

piecake
piecake

that all sounds good!

Dreski83
Dreski83

A new BLACK game doesn't sound so bad, but the idea that these dudes are making big buck off of garbage like Madden and NBA is quite funny. Shame the madness will have to continue until 2K can get their pulse back on the NFL license.

Thoksville
Thoksville

Looks to me like BF2142 was simply a mod, with the single purpose of seeing if they could get away with sneaking that advertising crap in there. EA buys rights to Crysis during the year, and now, all of a sudden, Crysis is delayed. Sure, games get delayed, but could it be to get time to inject that poisonous code?

Thoksville
Thoksville

Looks to me like BF2142 was simply a mod, with the single purpose of seeing if they could get away with sneaking that advertising crap in there. EA buys rights to Crysis during the year, and now, all of a sudden, Crysis is delayed. Sure, games get delayed, but could it be to get time to inject that poisonous code?

hemakm3
hemakm3

Love Road Rash games

davahsa
davahsa

They need to make a Walmart sim where you have to work on keeping all EA games in stock... They could call it "Go ahead and buy me ya stupid #u@*!" ....and yes I did write the new NFL comish a letter on how there particular license agreement with EA causes them to loose money and if they were concerned about the quality then they chose wrong. Hey thanks Madden07! You take the ESPN license too and have no half time show? oohh oohh and I love how your opponent can see what play you pick at the madden challenge. Thats really smart right there. Yeah! and having an MC walk around with a mic cursing and hitting on women..... now thats the quality the NFL was looking for right there. Classy

Autolycus
Autolycus

OH no!? ONLY:roll eyes: 22million buck of extra, dont have anything to do with it, profit?! shucks. here's an idea...lets by all the competition and then makes the games sucky, but they'll sell because of their name, but we'll charge 10 dollars more then anyone else. oh wait...thats what ea IS doing....

KingofTrolls
KingofTrolls

It's people like you who keep buying these same re-hashed sports titles year after year that keep EA in top business.

e1337prodigy
e1337prodigy

Crysis delayed more :( I suppose I can keep waiting. The more time they spend making it the better it will be. I hope.. o0o Road Rash rocked when I was a kid. Love to see that game again. o0o a new Black too :p I just hope they make it for pc this time.

Carpe_Noctum
Carpe_Noctum

It seems that EA could sell burgers that lack bun, cheese and meat. Simply amazing.

WESLY_SNYPES
WESLY_SNYPES

Crysis and Black will best games they will come out with other than the new Def Jam. Get those early now before they are hit with the EA curse of the sequels. If they have a multiplayer and a co-op on the new Black that game is going to be sick...

CaptainLunchbox
CaptainLunchbox

or, cant beat em, sell out to em. ea buys more dev houses than any other publisher. saves them from having to be creative themselves.

evolutionex
evolutionex

well i agree with dnzperson, everyone hates the man, because they can't beat the man. thats why game companies sell out to EA, remember the old saying... " Can't Beat 'em then Join 'Em"

CaptainLunchbox
CaptainLunchbox

wow... i wish all the dev houses would break away and cripple them...

dnzperson
dnzperson

I hate EA. Lol, I don't know why - but EA is the man and everyone hates the man. BTW, I love Crysis and BF2142.

christopherneal
christopherneal

Good for EA! :) I love Madden. In fact I'm playing it now! Franchise mode, baby! :)

eternaldragonx
eternaldragonx

no i dont beleive it...ea? the ea thats acharges you money for shotty games and retarded dlc? no i wouldnt never have thought, STOP FLOODING THE MARKET WITH YOUR CRAP AS SHOLES

nintendorocks
nintendorocks

Money, money, money, money, money.........MONEY!

sootybuttercup2
sootybuttercup2

To Tremere1 I don't think Sierra is any where near 2nd in the past 10 years. Activision is second IIRC.

SidSimelia
SidSimelia

Just makes the way they've been raping us on Marketplace that much sadder, huh? The people most desperate for a buck are the people that have all of them.

grimboy
grimboy

These guys need new franchises. Not movie, TV, WWII, or sport-based either. Need I remind you all of the crapwad that was Catwoman?

jeebs213
jeebs213

EA lives off the lowest denominator gamers, and they can only trick them with updated sports games and Sims expansions for soo long... that is of course assuming that there's hope yet for humanity.

klactose
klactose

you guys don't really read these articles it seems... they really made $22 million in profit for the quarter. That's not chump change either... but don't get fooled into thinking they made $784 million in profit, when that's just the total revenue that came in... They spent $762 million... Subtract that from the first number and you get the profits... funny thing how math works.

dchan01
dchan01

All you folks who don't like EA because they make money... Don't you like money too?

blackIceJoe
blackIceJoe

A new Road Rash game now that great news to hear. I think it could look really good on the 360 and PS3. So I can't wait to play it.