The name of the game in Q1 of fiscal year 2021 was once again “live services” for Electronic Arts, but net full game bookings also saw a considerable leap for the publisher in the quarter ended. on June 30, 2020 is likely in no small part due to COVID-19 related lockdowns.
With two game launches last quarter compared to none in the previous year’s Q1 – Command & Conquer Remastered and Burnout Paradise Remastered, EA saw both the full game and live services of net bookings jumped considerably, possibly also helping with the launch of nearly 30 of the publisher’s titles on Steam over the quarter.
EA also announced that The Sims 4 has reached over 30 million total participants across all platforms since its launch.
Net revenue from full games in Q1was $ 359 million, up 37% year-on-year, while net revenue from live services was $ 1.1 billion, up 16% – a total of $ 1.46 billion in net income for the quarter, up 21% year-on-year. throughout the year.
EA’s net revenue reached $ 356 million, dramatically down from $ 1.42 billion in the same quarter last year.
However, that much lower net income is connected to a few one-off tax events that occurred in Q1 last year. One involved a U.S. court ruling regarding stock-based compensation costs that required EA to file a tax due.
The other was due to EA transferring some of its IP rights to a Swiss subsidiary around the same time a Swiss referendum changed income tax rates – allowing the company to realize a tax benefit on revenue of about $ 1.7 billion for that year alone.
EA’s latest net bookings reached $ 1.39 billion, up from $ 782 million year-over-year largely due to 98% year-over-year growth in net console bookings, which alone brought in $ 824 million out of the total.
Distributed otherwise, full-match net bookings were up 202% YOY to $ 287 million, and live-service net bookings were up 61% to $ 1.1 billion.
Looking ahead to the next three months, EA has lowered its outlook both due to lower expectations for live services for Madden NFL 21, and due to FIFA’s later-than-usual release date. 21 of 9 October, by sending it in Q3.
For Q2, EA expects net revenues to be $ 1.13 billion, net revenues of $ 61 million, and net bookings of $ 875 million – a decrease of $ 525 million from the original forecast.
However, EA increased its forecast for net bookings in Q3 by $ 450 million, and in Q4 by $ 85 million.
For the full year, EA increased its net revenue forecast from $ 5.5 billion to $ 5.63 billion, as well as its net bookings forecasts from $ 5.5 billion to $ 5.95 billion.
However, it slightly reduced its net income projections from $ 978 million to $ 869 million.