Electronic Arts Outlines Long-Term Growth Strategy at Investor Day
Electronic Arts (EA) hosted an Investor Day event to outline its long-term growth strategy. The company expects to outpace market growth and drive margin expansion through fiscal year 2027. EA aims to double its global audience to over a billion people in the next five years. Key highlights include:
1. Sustained growth in EA SPORTS™ with aspirations to become the most valuable sports business
2. A modern-day Battlefield™ experience with community testing in early 2025
3. Plans to more than double The Sims™ annual net bookings over five years
4. Introduction of the EA SPORTS App for interactive entertainment beyond gaming
5. Leveraging AI to drive efficiency, expansion, and business transformation
EA also announced a partnership with Amazon MGM Studios for a movie based on The Sims. The company is on track towards the high end of its net bookings guidance for Q2 FY2025 and FY2025.
Electronic Arts (EA) ha ospitato un evento Investor Day per delineare la sua strategia di crescita a lungo termine. L'azienda si aspetta di superare la crescita del mercato e aumentare i margini fino all'anno fiscale 2027. EA mira a raddoppiare il suo pubblico globale a oltre un miliardo di persone nei prossimi cinque anni. I punti salienti includono:
1. Crescita sostenuta in EA SPORTS™ con l'aspirazione di diventare l'azienda sportiva più preziosa
2. Un'esperienza Battlefield™ moderna con test della community all'inizio del 2025
3. Piani per raddoppiare le prenotazioni nette annuali di The Sims™ in cinque anni
4. Introduzione dell'App EA SPORTS per intrattenimento interattivo oltre il gioco
5. Utilizzo dell'IA per aumentare l'efficienza, l'espansione e la trasformazione del business
EA ha anche annunciato una partnership con Amazon MGM Studios per un film basato su The Sims. L'azienda è in linea con il limite superiore delle sue previsioni di prenotazioni nette per il Q2 FY2025 e FY2025.
Electronic Arts (EA) organizó un evento Investor Day para delinear su estrategia de crecimiento a largo plazo. La compañía espera superar el crecimiento del mercado y aumentar los márgenes hasta el año fiscal 2027. EA tiene como objetivo duplicar su audiencia global a más de mil millones de personas en los próximos cinco años. Los puntos destacados incluyen:
1. Crecimiento sostenido en EA SPORTS™ con aspiraciones de convertirse en el negocio deportivo más valioso
2. Una experiencia moderna de Battlefield™ con pruebas comunitarias a principios de 2025
3. Planes para más que duplicar las reservas netas anuales de The Sims™ en cinco años
4. Introducción de la app EA SPORTS para entretenimiento interactivo más allá de los juegos
5. Aprovechar la IA para impulsar la eficiencia, la expansión y la transformación del negocio
EA también anunció una asociación con Amazon MGM Studios para una película basada en The Sims. La compañía está en camino hacia el extremo superior de su guía de reservas netas para el Q2 FY2025 y el FY2025.
일렉트로닉 아츠 (EA)는 장기 성장 전략을 설명하기 위해 Investor Day 이벤트를 개최했습니다. 이 회사는 2027 회계연도까지 시장 성장률을 초과하고 마진 확장을 추진할 것으로 기대하고 있습니다. EA는 앞으로 5년 내에 전 세계 관객을 10억 명 이상으로 두 배 늘리는 것을 목표로 하고 있습니다. 주요 사항은 다음과 같습니다:
1. EA SPORTS™에서 지속적인 성장, 가장 가치 있는 스포츠 비즈니스가 되는 것을 목표로
2. 2025년 초, 커뮤니티 테스트가 포함된 현대적인 Battlefield™ 경험
3. The Sims™의 연간 순 예약을 5년 내에 두 배 이상으로 늘릴 계획
4. 게임을 넘어서는 대화형 엔터테인먼트를 위한 EA SPORTS 앱 도입
5. 효율성, 확장 및 비즈니스 혁신을 위한 AI 활용
EA는 또한 The Sims를 기반으로 한 영화 제작을 위해 Amazon MGM Studios와 협력한다고 발표했습니다. 이 회사는 FY2025 2분기 및 FY2025의 순 예약 가이드라인의 상한선에 접근하고 있습니다.
Electronic Arts (EA) a organisé un événement Investor Day pour présenter sa stratégie de croissance à long terme. L'entreprise prévoit de dépasser la croissance du marché et d'accroître ses marges jusqu'à l'exercice fiscal 2027. EA vise à doubler son audience mondiale pour atteindre plus d'un milliard de personnes dans les cinq prochaines années. Les points forts incluent :
1. Croissance soutenue dans EA SPORTS™ avec l'aspiration de devenir l'entreprise sportive la plus précieuse
2. Une expérience Battlefield™ moderne avec des tests communautaires début 2025
3. Des plans pour plus que doubler les réservations nettes annuelles de The Sims™ sur cinq ans
4. Introduction de l'application EA SPORTS pour un divertissement interactif au-delà du jeu
5. Utilisation de l'IA pour améliorer l'efficacité, l'expansion et la transformation de l'entreprise
EA a également annoncé un partenariat avec Amazon MGM Studios pour un film basé sur The Sims. L'entreprise est sur la bonne voie pour atteindre le haut de sa prévision de réservations nettes pour le T2 FY2025 et le FY2025.
Electronic Arts (EA) veranstaltete eine Investor Day-Veranstaltung, um seine langfristige Wachstumsstrategie darzustellen. Das Unternehmen rechnet damit, das Marktwachstum bis zum Geschäftsjahr 2027 zu übertreffen und die Margen auszuweiten. EA plant, sein globales Publikum in den nächsten fünf Jahren auf über eine Milliarde Menschen zu verdoppeln. Zu den wichtigsten Punkten gehören:
1. Nachhaltiges Wachstum bei EA SPORTS™ mit dem Ziel, das wertvollste Sportbusiness zu werden
2. Ein modernes Battlefield™-Erlebnis mit Community-Tests Anfang 2025
3. Pläne, die jährlichen Nettobuchungen von The Sims™ in fünf Jahren mehr als zu verdoppeln
4. Einführung der EA SPORTS-App für interaktive Unterhaltung über das Gaming hinaus
5. Nutzung von KI zur Steigerung von Effizienz, Expansion und Geschäftstransformation
EA kündigte auch eine Partnerschaft mit Amazon MGM Studios für einen Film, der auf The Sims basiert, an. Das Unternehmen ist auf dem Weg zu den oberen Grenzen seiner Nettobuchungsprognose für Q2 FY2025 und FY2025.
- Expected to outpace market growth and drive margin expansion through fiscal year 2027
- Aims to double global audience to over a billion people in the next five years
- Plans to more than double The Sims annual net bookings over five years
- On track towards the high end of net bookings guidance for Q2 FY2025 and FY2025
- Partnership with Amazon MGM Studios for a movie based on The Sims
- Introduction of EA SPORTS App for interactive entertainment beyond gaming
- None.
Insights
EA's investor day presentation outlines an ambitious growth strategy, aiming to double its global audience to over a billion people in five years. The company expects to outpace market growth and expand margins through fiscal 2027. Key growth drivers include:
- Expanding EA SPORTS™, with aspirations to become the most valuable sports business
- Doubling The Sims™ annual net bookings over five years
- Launching a new Battlefield™ experience with community testing in early 2025
- Introducing the EA SPORTS App for beyond-gaming engagement
Financially, EA is tracking towards the high end of its Q2 and FY2025 net bookings guidance. This strategy, if executed well, could significantly boost EA's revenue and market position. However, investors should monitor the company's ability to deliver on these ambitious targets, especially in a competitive and rapidly evolving gaming landscape.
EA's strategy heavily leverages AI and innovative technology to drive growth and efficiency. The focus on creating connected platforms for play, creation, watching and social connection aligns with industry trends towards more immersive and interactive entertainment experiences. The EA SPORTS App, in particular, represents a significant move into socially-driven, interactive content beyond traditional gaming.
The emphasis on AI to drive efficiency, expansion and transformation is important in today's tech landscape. This could lead to more personalized gaming experiences, improved game development processes and enhanced community engagement. However, the success of these initiatives will depend on EA's ability to effectively implement AI technologies while maintaining game quality and user privacy.
EA's strategy to expand beyond traditional gaming into broader entertainment and social experiences is a smart move to capture a larger share of consumers' digital time and wallet. The partnership with Amazon MGM Studios for a Sims movie and the launch of the EA SPORTS App demonstrate this expansion.
The focus on owned IP and licensed collaborations provides a strong foundation for growth. However, the ambitious goal of doubling the global audience faces challenges in an increasingly saturated market. The success of this strategy will depend on EA's ability to:
- Effectively monetize the expanded audience
- Create compelling cross-platform experiences
- Navigate potential regulatory challenges in new markets
Investors should closely monitor user acquisition costs and retention rates as EA expands into new territories and platforms.
EA expects to outpace market growth and drive margin expansion through fiscal year 2027
Outlines strategy to double global audience to well over a billion people over the next five years
Debuts EA SPORTS™ App focused on connected, interactive entertainment beyond gaming
“We are excited to unveil an in-depth look inside the growing scale and scope of our IP portfolio, as we accelerate engagement and social connection in and around our biggest franchises,” said Andrew Wilson, CEO of EA. “We are also introducing new experiences and leveraging innovative technology to serve our global communities and attract new audiences, as we continue to transform our business and shape the future of entertainment.”
“We are committed to growing our business at scale and expanding operating margins through a disciplined approach to capital allocation,” said Stuart Canfield, CFO of EA. “Our strategy gives us confidence we can significantly outpace market growth through fiscal 2027.”
Investor Day Highlights:
- EA shared an in-depth look at the initiatives and experiences driving its strategic pillars to accelerate growth in, around, and beyond gaming;
- Outlined how AI drives efficiency, expansion, and transformation to accelerate its business;
- Expects sustained growth in EA SPORTS™ and shared its aspiration to be the most valuable sports business;
- Announced a modern day next-level Battlefield™ experience, with a community testing program coming in early 2025;
- Investing behind The Sims™ platform and expects to more than double The Sims annual net bookings1 over the next five years; announced partnership with Amazon MGM Studios on a movie based on The Sims;
- Outlined plans to unlock net-new business opportunities beyond gaming, starting with the EA SPORTS App - a socially-driven app, with sports content, live sports data, interactivity and gaming centered on global football;
- Updated that the company is on track towards the high end of the net bookings1 guidance, provided on July 30, 2024, for the second fiscal quarter ending September 30, 2024 and the fiscal year ending March 31, 2025.
During the event, Andrew Wilson, Chief Executive Officer, shared EA’s vision for shaping the future of entertainment and strategy to build connected platforms that deliver more value and less friction where fans can play, create, watch, and connect. Laura Miele, President, EA Entertainment and Technology, detailed extraordinary, owned IP, including some of the world’s most beloved blockbuster franchises, as well as licensed IP through powerful collaborations. Cam Weber, President, EA SPORTS, shared the company’s aspiration to establish EA SPORTS as the most valuable sports business. David Tinson, Chief Experiences Officer, provided an overview of initiatives to engage and grow EA’s communities beyond the bounds of games. Mihir Vaidya, Chief Strategy Officer, shared more about the transformative potential the company sees in a future super-charged by AI. Stuart Canfield, Chief Financial Officer, provided EA’s financial framework for driving growth through the company’s strategic pillars and delivering long-term value.
The Investor Day webcast and accompanying presentations are available at EA’s IR Website at http://ir.ea.com.
Forward-Looking Statements
During the course of the presentation, Electronic Arts may make forward-looking statements regarding future events and the future financial performance of the company 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. Factors that might cause or contribute to such differences include those discussed in Electronic Arts’ latest Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2024, under the heading “Risk Factors”, as well as in other documents we have filed with the Securities and Exchange Commission, including Electronic Arts’ Annual Report on Form 10-K for the fiscal year ended March 31, 2024. We assume no obligation to revise or update any forward-looking statement for any reason, except as required by law.
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 2024, EA posted GAAP net revenue of approximately
EA, EA SPORTS, EA SPORTS FC, Battlefield, Need for Speed, Apex Legends, The Sims, Dragon Age, Titanfall, and Plants vs. Zombies are trademarks of Electronic Arts Inc. John Madden, NFL, FIFA and F1 are the property of their respective owners and used with permission.
1 Net bookings is defined as the net amount of products and services sold digitally or sold-in physically in the period. Net bookings is calculated by adding total net revenue to the change in deferred net revenue for online-enabled games. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240917249297/en/
Andrew Uerkwitz
Vice President, Investor Relations
650-674-7191
auerkwitz@ea.com
Justin Higgs
Vice President, Corporate Communications
925-502-9253
jhiggs@ea.com
Source: Electronic Arts
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