Electronic Arts has lowered its full-year revenue guidance after failing to meet expectations for the third fiscal quarter ending Dec. 31, 2022.
The California-based video game publisher posted $2.34 billion in net bookings in fiscal Q3, missing analysts’ estimates by 6%. As a result of the miss, EA projects full-year revenue to range between $7.25 billion and $7.35 billion, down from a previous estimate of $7.8 billion.
- EA attributed the unfavorable results to market uncertainty.
- The conditions caused EA to cancel “Apex Legends Mobile” and “Battlefield Mobile.”
- As of fiscal Q3, EA has more than 650 million people in its player network.
EA’s profits could continue to take a hit without the “FIFA” franchise — the company ended its 30-year partnership with the international governing body of soccer in May 2022.
“FIFA” titles have generated more than $20 billion in sales over the past 20 years. The latest edition and final EA edition, “FIFA 23,” is on pace to be the biggest in franchise history.
Canceling two mobile titles prevents EA from expanding its position in a mobile gaming market projected to exceed a valuation of $215 billion by 2028, per SkyQuest Technology Consulting.
The world’s five top-grossing mobile games generated $7.2 billion in revenue in 2022, an increase of $400 million from the year prior, according to data analytics firm Sports Lens.