Electronic Arts (EA) lowers full year revenue guidance below expectations

Published , by TJ Denzer

Electronic Arts is the latest tech company to put out its earnings results this quarter, but there weren’t a lot of good things to say for the Star Wars, Madden, and Battlefield publisher in its Q3 2023 results. Notable among the details revealed during this quarter’s earnings results was a reduction in full-year revenue guidance, for which Electronic Arts lowered its expectations by around half a billion dollars.

Electronic Arts (EA) put out its earnings results on its investor relations website on January 31, 2023. According to the results, Electronic Arts has now set its revenue expectations at around $7.25 billion to $7.35 billion. This is down from the $7.8 billion USD that EA projected in Q2 2023. It was also likely affected by announcements such as Star Wars Jedi: Survivor being delayed out of the current fiscal year, meaning it will play a part in EA’s 2023 fiscal year revenue.

Electronic Arts' (EA) stock took a dive on a number of bad details from its Q3 2023, including lowered full-year revenue guidance.
Source: Google

The bad news didn’t stop there for Electronic Arts. The company missed revenue expectations in its Q3 2023 earnings results, only reaching $1.88 billion USD actual revenue against an expectation of $2.5 billion. The company also announced bad news for Apex Legends Mobile. The free-to-play mobile version of the popular battle royale apparently failed to bring the response EA and Respawn Entertainment was hoping for because it was announced today that service for the game would be sunset in May 2023.

With this in mind, it was a rough quarter for Electronic Arts and it looks like the next quarter may not fair far better if EA’s own guidance is to be believed. As we continue to report on tech quarterly results this season, stay tuned for more coverage from further companies as the details drop.