Stock Analysis

Electronic Arts First Quarter 2025 Earnings: Beats Expectations

NasdaqGS:EA
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Electronic Arts (NASDAQ:EA) First Quarter 2025 Results

Key Financial Results

  • Revenue: US$1.66b (down 14% from 1Q 2024).
  • Net income: US$280.0m (down 30% from 1Q 2024).
  • Profit margin: 17% (down from 21% in 1Q 2024). The decrease in margin was driven by lower revenue.
  • EPS: US$1.05 (down from US$1.48 in 1Q 2024).
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NasdaqGS:EA Earnings and Revenue Growth August 1st 2024

All figures shown in the chart above are for the trailing 12 month (TTM) period

Electronic Arts Revenues and Earnings Beat Expectations

Revenue exceeded analyst estimates by 3.0%. Earnings per share (EPS) also surpassed analyst estimates by 18%.

Looking ahead, revenue is forecast to grow 5.3% p.a. on average during the next 3 years, compared to a 8.5% growth forecast for the Entertainment industry in the US.

Performance of the American Entertainment industry.

The company's shares are up 6.4% from a week ago.

Balance Sheet Analysis

Just as investors must consider earnings, it is also important to take into account the strength of a company's balance sheet. We've done some analysis and you can see our take on Electronic Arts' balance sheet.

Valuation is complex, but we're here to simplify it.

Discover if Electronic Arts might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.