Sales and profitability
Franchise strength
Electronic Arts continues to see strength in its franchises. Apex Legends held its ground as one of the strongest in the industry with 18 million active monthly players and a retention rate of over 70% in the first quarter. Madden NFL saw higher engagement versus the year-ago period in Q1.
The company’s mobile business continued to outperform with gains from Star Wars: Galaxy of Heroes and The Sims FreePlay. Net bookings from mobile were up 3% YoY in Q1.
In Q1, full game net bookings jumped 143% YoY to $401 million, driven mainly by the release of Star Wars Jedi: Survivor. The company expects to generate long-term value from this title. Live services rose 4% in the first quarter, making up 75% of net bookings.
EA is investing in the development of new games and the expansion of its existing games which are expected to drive growth. Some of these investments include an Iron Man game, a re-imagination of Battlefield, the expansion of the Apex Legends universe, and its Black Panther project in collaboration with Walt Disney and Marvel.
Outlook
Electronic Arts expects its second quarter 2024 results to benefit from momentum in its global football business and gains from the newly launched EA SPORTS FC. The company expects revenue for Q2 2024 to range between $1.82-1.92 billion and net bookings to range between $1.70-1.80 billion. EPS is estimated to be $0.72-0.89.
For the full year of 2024, EA expects both revenue and net bookings to range between $7.30-7.70 billion. EPS is expected to be approx. $3.42-3.92.