Electronic Arts Grows Top Line in its Fiscal Second Quarter
Videogame publisher Electronic Arts Inc <EA.O> raised its 2015 forecast and reported stronger-than-expected second-quarter results on Tuesday, on cost controls and strong digital sales from titles including "FIFA" and "Madden."
The Redwood City, California-based company said it expects $4.18 billion in non-GAAP revenue and non-GAAP net income of $2.05 per share in fiscal 2015. It had previously forecast $4.1 billion in revenue and $1.85 per share in profit.
Electronic Arts is seeing "continued growth of generation 4 console (Xbox One and PlayStation 4) and still solid results in our older console business as well," Chief Financial Officer Blake Jorgensen said in an interview.
"The digital side of the business, full-game downloads as well as digital services around those businesses like 'FIFA Ultimate Team' and 'Madden Ultimate Team' are continuing to perform well above our expectations."
For the three months ended Sept. 30, the company posted non-GAAP revenue of $1.22 billion, compared with $1.04 billion a year ago. Wall Street analysts had estimated revenue of $1.16 billion, according to Thomson-Reuters I/B/E/S.
Non-GAAP net income rose to $232 million, or 73 cents per share, from $105 million or 33 cents per share a year ago. Analysts had forecast earnings of 53 cents per share.
Electronic Arts shares were up 2 percent in after-hours trading, after closing at $37.48 on the Nasdaq.
(Reporting by Malathi Nayak; editing by Leslie Adler and Matthew Lewis)