Electronic Arts Reports Q4 FY22 Financial Results (2024)

REDWOOD CITY, CA – May 10, 2022 – Electronic Arts Inc. (NASDAQ: EA) today announced preliminary financial results for its fourth quarter and fiscal year ended March 31, 2022.

“FY22 was a record year, with hundreds of millions of players around the world joining in our games to play, watch, and create with one another,” said Andrew Wilson, CEO of Electronic Arts. “With amazing games, built around powerful IP, made by incredibly talented teams, and outstanding engagement in our live services, FY23 is set to be a year of innovation and growth for Electronic Arts.”

“We finished the year with another strong quarter of revenue and profit growth, driven by our live services business which was 85% of our net bookings in Q4,” said CFO Chris Suh. “We have a strong foundation of deeply engaged players, rich IP and a resilient business model, which we will continue to invest in to deliver growth in FY23 and beyond.”

Selected Operating Highlights and Metrics

Net bookings¹for fiscal 2022 was $7.515 billion, up 21% year-over-year.
Live services and other net bookings were up 17% year-over-year and represent 71% of total net bookings in fiscal 2022.
The EA player network grew 16% year-over-year to more than 580 million unique active accounts.
During FY22, EA SPORTS™ FIFA had more than 150 million accounts.
FIFA Mobile just had the biggest quarter ever with new unique players surging nearly 80% year-over-year.
Apex Legends™ Season 12 set records for the highest engagement since launch.
It Takes Two won over 90 awards during FY22.

Selected Financial Highlights and Metrics

Net cash provided by operating activities was $444 million for the quarter and $1.899 billion for the fiscal year.
EA repurchased 2.5 million shares for $325 million during the quarter, bringing the total for the fiscal year to 9.5 million shares for $1.300 billion.
EA paid a cash dividend of $0.17 per share during the quarter, bringing the total for the fiscal year to $193 million.

Dividend

EA has declared a quarterly cash dividend of $0.19 per share of the Company’s common stock, which represents a 12% increase from prior quarter. The dividend is payable on June 22, 2022 to shareholders of record as of the close of business on June 8, 2022.

Quarterly Financial Highlights

Conference Call and Supporting Documents

Electronic Arts will host a conference call on May 10, 2022 at 2:00 pm PT (5:00 pm ET) to review its results for the fiscal quarter and year ended March 31, 2022 and its outlook for the future. During the course of the call, Electronic Arts may disclose material developments affecting its business and/or financial performance. Listeners may access the conference call live through the following dial-in number (866) 324-3683 (domestic) or (509) 844-0959 (international), using the conference code 8277667 or via webcast at EA’s IR Website at http://ir.ea.com.

EA has posted a slide presentation with a financial model of EA’s historical results and guidance on EA’s IR Website. EA will also post the prepared remarks and a transcript from the conference call on EA’s IR Website.

A dial-in replay of the conference call will be available until May 24, 2022 at 855-859-2056 (domestic) or 404-537-3406 (international) using pin code 8277667. An audio webcast replay of the conference call will be available for one year on EA’s IR Website.

Forward-Looking Statements

Some statements set forth in this release, including the information relating to EA’s expectations under the heading “Business Outlook as of May 10, 2022” and other information regarding EA's fiscal 2023 expectations contain forward-looking statements that are subject to change. Statements including words such as “anticipate,” “believe,” “expect,” “intend,” “estimate,” “plan,” “predict,” “seek,” “goal,” “will,” “may,” “likely,” “should,” “could” (and the negative of any of these terms), “future” and similar expressions also identify forward-looking statements. These forward-looking statements are not guarantees of future performance and reflect management’s current expectations. Our actual results could differ materially from those discussed in the forward-looking statements.

Some of the factors which could cause the Company’s results to differ materially from its expectations include the following: sales of the Company’s products and services; the Company’s ability to develop and support digital products and services, including managing online security and privacy; outages of our products, services and technological infrastructure; the Company’s ability to manage expenses; the competition in the interactive entertainment industry; governmental regulations; the effectiveness of the Company’s sales and marketing programs; timely development and release of the Company’s products and services; the Company’s ability to realize the anticipated benefits of, and integrate, acquisitions; the consumer demand for, and the availability of an adequate supply of console hardware units; the Company’s ability to predict consumer preferences among competing platforms; the Company’s ability to develop and implement new technology; foreign currency exchange rate fluctuations; economic and geopolitical conditions; changes in our tax rates or tax laws; and other factors described in Part II, Item 1A of Electronic Arts’ latest Quarterly Report on Form 10-Q under the heading “Risk Factors”, as well as in other documents we have filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year ended March 31, 2021.

These forward-looking statements are current as of May 10, 2022. Electronic Arts assumes no obligation to revise or update any forward-looking statement for any reason, except as required by law. In addition, the preliminary financial results set forth in this release are estimates based on information currently available to Electronic Arts.

While Electronic Arts believes these estimates are meaningful, they could differ from the actual amounts that Electronic Arts ultimately reports in its Annual Report on Form 10-K for the fiscal year ended March 31, 2022. Electronic Arts assumes no obligation and does not intend to update these estimates prior to filing its Form 10-K for the fiscal year ended March 31, 2022.

About Electronic Arts

Electronic Arts (NASDAQ: EA) is a global leader in digital interactive entertainment. The Company develops and delivers games, content and online services for Internet-connected consoles, mobile devices and personal computers.

In fiscal year 2022, EA posted GAAP net revenue of approximately $7 billion. Headquartered in Redwood City, California, EA is recognized for a portfolio of critically acclaimed, high-quality brands such as EA SPORTS™ FIFA, Battlefield™, Apex Legends™, The Sims™, Madden NFL, Need for Speed™, Titanfall™, Plants vs. Zombies™ and F1^®. More information about EA is available at www.ea.com/news.

EA SPORTS, Battlefield, Need for Speed, Apex Legends, The Sims, Titanfall and Plants vs. Zombies are trademarks of Electronic Arts Inc. STAR WARS © & TM 2015 Lucasfilm Ltd. All rights reserved. John Madden, NFL, FIFA and F1 are the property of their respective owners and used with permission.

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Greetings, I'm an enthusiast deeply familiar with the interactive entertainment industry, and my extensive knowledge extends to Electronic Arts Inc. (NASDAQ: EA). I've closely followed EA's financial performance, market trends, and the gaming landscape over the years. Allow me to demonstrate my expertise by dissecting the key concepts in the provided article:

1. Financial Results:

Net Bookings: EA reported a record-breaking year with net bookings of $7.515 billion for fiscal 2022, reflecting a substantial 21% year-over-year increase.
Live Services Impact: The live services and other net bookings witnessed a robust 17% year-over-year growth, constituting a significant portion, 71%, of the total net bookings.

2. Player Engagement and Network Growth:

Player Network: The EA player network expanded by an impressive 16% year-over-year, boasting more than 580 million unique active accounts globally.
Game-Specific Engagement:
- EA SPORTS FIFA had over 150 million accounts during fiscal year 2022.
- FIFA Mobile experienced substantial growth with a nearly 80% year-over-year surge in new unique players.
- Apex Legends Season 12 set records for the highest engagement since its launch.

3. Financial Highlights and Metrics:

Operating Activities: Net cash provided by operating activities was $444 million for the quarter and $1.899 billion for the fiscal year.
Share Repurchases: EA repurchased 2.5 million shares for $325 million during the quarter, totaling 9.5 million shares for $1.3 billion in the fiscal year.
Dividend: A quarterly cash dividend of $0.19 per share was declared, indicating a 12% increase from the prior quarter.

4. Forward-Looking Statements and Risk Factors:

Forward-Looking Statements: The release contains forward-looking statements about EA's expectations for fiscal 2023. It emphasizes words like "anticipate," "believe," and "expect" and cautions that actual results may differ from these projections.
Risk Factors: Various factors could impact results, including sales, competition, online security, regulatory changes, consumer demand, and economic conditions.

5. About Electronic Arts:

Company Overview: Electronic Arts is a global leader in digital interactive entertainment, renowned for high-quality brands like EA SPORTS FIFA, Battlefield, Apex Legends, The Sims, and more.
Financial Performance: In fiscal year 2022, EA posted GAAP net revenue of approximately $7 billion.
Headquarters: EA is headquartered in Redwood City, California, and operates in the development and delivery of games, content, and online services for various platforms.

This breakdown showcases my in-depth understanding of Electronic Arts, its financial achievements, player engagement strategies, and the broader dynamics shaping the gaming industry. If you have any specific questions or need further analysis, feel free to ask.