Compared to Estimates, Electronic Arts (EA) Q4 Earnings: A Look at Key Metrics

Zacks Equity Research
·2-min read

Electronic Arts (EA) reported $1.67 billion in revenue for the quarter ended March 2024, representing a year-over-year decline of 14.4%. EPS of $1.37 for the same period compares to $1.77 a year ago.

The reported revenue represents a surprise of -6.41% over the Zacks Consensus Estimate of $1.78 billion. With the consensus EPS estimate being $1.54, the EPS surprise was -11.04%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Electronic Arts performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Net Bookings: $1.67 billion versus the seven-analyst average estimate of $1.77 billion.

  • Net revenue by composition- Packaged goods - Non-GAAP (Net Bookings): $31 million versus the four-analyst average estimate of $57.47 million. The reported number represents a year-over-year change of -58.1%.

  • Net revenue by composition- Full game downloads - Non-GAAP (Net Bookings): $228 million versus the four-analyst average estimate of $200.94 million. The reported number represents a year-over-year change of -8.8%.

  • Net revenue by composition- Live services and other - Non-GAAP (Net Bookings): $1.41 billion versus the three-analyst average estimate of $1.46 billion. The reported number represents a year-over-year change of -13.3%.

View all Key Company Metrics for Electronic Arts here>>>

Shares of Electronic Arts have returned +0.4% over the past month versus the Zacks S&P 500 composite's -0.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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