Electronic Arts Reports Q3 FY22 Financial Results
Electronic Arts reported strong preliminary financial results for Q3 FY22, ending December 31, 2021. Net bookings for the trailing twelve months reached $7.254 billion, up 22% year-over-year, with record performance in net revenue and cash generation. The company boasts over 540 million unique active accounts, with players spending nearly 20% more time in games compared to last year. EA declared a cash dividend of $0.17 per share. For FY22, EA expects net revenue around $6.925 billion and net income of approximately $694 million.
- Record net bookings of $7.254 billion, up 22% YoY.
- Operating cash flow reached $1.534 billion for the quarter.
- EA repurchased 2.4 million shares for $325 million.
- Strong growth in player engagement with over 540 million unique active accounts.
- Net income for the quarter decreased to $66 million from $211 million YoY.
- Diluted earnings per share decreased to $0.23 from $0.72 YoY.
“FY22 has been a year of outstanding growth for
“Q3 was the largest quarter in the company’s history for net bookings, underlying profitability and cash generation,” said CFO
Selected Operating Highlights and Metrics
-
Net bookings1 for the trailing twelve months was
, up$7.25 4 billion22% year-over-year. - Over the last year, the EA player network has grown to more than 540 million unique active accounts.
- During FY22 to date, more than 180 million monthly active accounts on average engaged in our games across all platforms.
-
At quarter end, Apex Legends™ monthly active players were up more than
30% year-over-year. -
Players are spending nearly
20% more time in our games in FY22 compared to the previous year.
Selected Financial Highlights and Metrics
-
Net cash provided by operating activities was a record
for the quarter and$1.53 4 billion for the trailing twelve months.$1.82 6 billion -
EA repurchased 2.4 million shares for
during the quarter, bringing the total for the last twelve months to 9.4 million shares for$325 million .$1.30 0 billion -
EA paid a cash dividend of
per share during the quarter.$0.17
Dividend
EA has declared a quarterly cash dividend of
Quarterly Financial Highlights
Three Months Ended |
||||
|
||||
2021 |
|
2020 |
||
(in $ millions, except per share amounts) | ||||
Full game | 616 |
722 |
||
Live services and other | 1,173 |
951 |
||
Total net revenue | 1,789 |
1,673 |
||
Net income | 66 |
211 |
||
Diluted earnings per share | 0.23 |
0.72 |
||
Operating cash flow | 1,534 |
1,124 |
||
Value of shares repurchased | 325 |
326 |
||
Number of shares repurchased | 2.4 |
2.5 |
||
The following GAAP-based financial data2 and tax rate of
Three Months Ended |
||||||||||||
|
|
GAAP-Based Financial Data |
||||||||||
(in $ millions) |
Statement of
|
|
Acquisition-
|
|
Change in
|
|
Stock-based
|
|||||
Total net revenue | 1,789 |
|
- |
|
788 |
|
- |
|
||||
Cost of revenue | 631 |
|
(44 |
) |
- |
|
(1 |
) |
||||
Gross profit | 1,158 |
|
44 |
|
788 |
|
1 |
|
||||
Total operating expenses | 1,056 |
|
(61 |
) |
- |
|
(128 |
) |
||||
Operating income | 102 |
|
105 |
|
788 |
|
129 |
|
||||
Interest and other income (expense), net | (11 |
) |
- |
|
- |
|
- |
|
||||
Income before provision for income taxes | 91 |
|
105 |
|
788 |
129 |
|
|||||
Number of shares used in computation: | ||||||||||||
Diluted | 285 |
|
||||||||||
Trailing Twelve Months Financial Highlights
Twelve Months Ended |
||||
|
||||
2021 |
|
2020 |
||
(in $ millions) | ||||
Full game | 1,805 |
1,719 |
||
Live services and other | 4,707 |
3,951 |
||
Total net revenue | 6,512 |
5,670 |
||
Net income | 640 |
1,179 |
||
Operating cash flow | 1,826 |
2,061 |
||
Value of shares repurchased | 1,300 |
695 |
||
Number of shares repurchased | 9.4 |
5.9 |
||
The following GAAP-based financial data2 and tax rate of
Twelve Months Ended |
||||||||||||
|
GAAP-Based Financial Data |
|||||||||||
(in $ millions) |
Statement of
|
Acquisition-
|
Change in
|
Stock-based
|
||||||||
Total net revenue | 6,512 |
|
- |
|
742 |
|
- |
|
||||
Cost of revenue | 1,759 |
|
(92 |
) |
- |
|
(5 |
) |
||||
Gross profit | 4,753 |
|
92 |
|
742 |
|
5 |
|
||||
Total operating expenses | 3,814 |
|
(145 |
) |
- |
|
(507 |
) |
||||
Operating income | 939 |
|
237 |
|
742 |
|
512 |
|
||||
Interest and other income (expense), net | (49 |
) |
- |
|
- |
|
- |
|
||||
Income before provision for income taxes | 890 |
|
237 |
|
742 |
512 |
|
|||||
Operating Metric
The following is a calculation of our total net bookings1 for the periods presented:
Three Months Ended |
|
Twelve Months Ended |
||||||
|
|
|
||||||
2021 |
|
2020 |
|
2021 |
|
2020 |
||
(in $ millions) | ||||||||
Total net revenue | 1,789 |
1,673 |
6,512 |
5,670 |
||||
Change in deferred net revenue (online-enabled games) | 788 |
727 |
742 |
286 |
||||
Net bookings | 2,577 |
2,400 |
7,254 |
5,956 |
||||
Business Outlook as of
Our financial expectations for the quarter and fiscal year ending
Fiscal Year 2022 Expectations – Ending
Financial metrics:
-
Net revenue is expected to be approximately
.$6.92 5 billion-
Change in deferred net revenue (online-enabled games) is expected to be approximately
.$600 million
-
Change in deferred net revenue (online-enabled games) is expected to be approximately
-
Net income is expected to be approximately
.$694 million -
Diluted earnings per share is expected to be approximately
.$2.43 -
Operating cash flow is expected to be approximately
.$1.90 0 billion - The Company estimates a share count of 286 million for purposes of calculating fiscal year 2022 diluted earnings per share.
Operational metric:
-
Net bookings1 is expected to be approximately
.$7.52 5 billion
In addition, the following outlook for GAAP-based financial data2 and a long-term tax rate of
Twelve Months Ending |
||||||||||||
|
|
GAAP-Based Financial Data |
||||||||||
GAAP
|
|
Acquisition-
|
Change in
|
|
Stock-based
|
|||||||
(in $ millions) | ||||||||||||
Total net revenue | 6,925 |
|
- |
|
600 |
|
- |
|
||||
Cost of revenue | 1,844 |
|
(130 |
) |
- |
|
(5 |
) |
||||
Operating expense | 4,048 |
|
(180 |
) |
- |
|
(525 |
) |
||||
Income before provision for income taxes | 984 |
|
310 |
|
600 |
530 |
|
|||||
Net income | 694 |
|
||||||||||
Number of shares used in computation: | ||||||||||||
Diluted shares | 286 |
|||||||||||
Fourth Quarter Fiscal Year 2022 Expectations – Ending
Financial metrics:
-
Net revenue is expected to be approximately
.$1.75 9 billion-
Change in deferred net revenue (online-enabled games) is expected to be approximately
.$2 million
-
Change in deferred net revenue (online-enabled games) is expected to be approximately
-
Net income is expected to be approximately
.$130 million -
Diluted earnings per share is expected to be approximately
.$0.46 - The Company estimates a share count of 284 million for purposes of calculating fourth quarter fiscal 2022 diluted earnings per share.
Operational metric:
-
Net bookings1 is expected to be approximately
.$1.76 1 billion
In addition, the following outlook for GAAP-based financial data2 and a long-term tax rate of
Three Months Ending |
||||||||||||
|
|
GAAP-Based Financial Data |
||||||||||
GAAP
|
|
Acquisition-
|
|
Change in
|
|
Stock-based
|
||||||
(in $ millions) | ||||||||||||
Total net revenue | 1,759 |
|
- |
|
2 |
|
- |
|
||||
Cost of revenue | 404 |
|
(42 |
) |
- |
|
(1 |
) |
||||
Operating expense | 1,086 |
|
(49 |
) |
- |
|
(126 |
) |
||||
Income before provision for income taxes | 259 |
|
91 |
|
2 |
127 |
|
|||||
Net income | 130 |
|
||||||||||
Number of shares used in computation: | ||||||||||||
Diluted shares | 284 |
|||||||||||
Conference Call and Supporting Documents
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
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
Some of the factors which could cause the Company’s results to differ materially from its expectations include the following: the impact of the COVID-19 pandemic, 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; general economic 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
These forward-looking statements are current as of
While
About
In fiscal year 2021, EA posted GAAP net revenue of
EA SPORTS, Battlefield, Need for Speed, Apex Legends, The Sims, Titanfall and Plants vs. Zombies are trademarks of
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. |
|
|
||
2 |
For more information about the nature of the GAAP-based financial data, please refer to EA’s Form 10-K for the fiscal year ended |
|
||||||||||||
Unaudited Condensed Consolidated Statements of Operations |
||||||||||||
(in $ millions, except per share data) |
||||||||||||
|
|
|
|
|
|
|
|
|
||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||
|
|
|
||||||||||
|
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||
Net revenue |
1,789 |
|
1,673 |
|
5,166 |
|
4,283 |
|
||||
Cost of revenue |
631 |
|
601 |
|
1,440 |
|
1,175 |
|
||||
Gross profit |
1,158 |
|
1,072 |
|
3,726 |
|
3,108 |
|
||||
Operating expenses: |
|
|
|
|
||||||||
Research and development |
539 |
|
451 |
|
1,607 |
|
1,310 |
|
||||
Marketing and sales |
293 |
|
216 |
|
716 |
|
493 |
|
||||
General and administrative |
163 |
|
149 |
|
508 |
|
418 |
|
||||
Amortization of intangibles |
61 |
|
5 |
|
131 |
|
16 |
|
||||
Total operating expenses |
1,056 |
|
821 |
|
2,962 |
|
2,237 |
|
||||
Operating income |
102 |
|
251 |
|
764 |
|
871 |
|
||||
Interest and other income (expense), net |
(11 |
) |
(6 |
) |
(39 |
) |
(19 |
) |
||||
Income before provision for income taxes |
91 |
|
245 |
|
725 |
|
852 |
|
||||
Provision for income taxes |
25 |
|
34 |
|
161 |
|
91 |
|
||||
Net income |
66 |
|
211 |
|
564 |
|
761 |
|
||||
Earnings per share |
|
|
|
|
||||||||
Basic |
0.23 |
|
0.73 |
|
1.99 |
|
2.63 |
|
||||
Diluted |
0.23 |
|
0.72 |
|
1.97 |
|
2.61 |
|
||||
Number of shares used in computation |
|
|
|
|
||||||||
Basic |
283 |
|
290 |
|
284 |
|
289 |
|
||||
Diluted |
285 |
|
292 |
|
287 |
|
292 |
|
||||
Results (in $ millions, except per share data)
The following table reports the variance of the actuals versus our guidance provided on
|
Three Months Ended |
|||||||||||
|
2021 |
|
|
|
2021 |
|
2020 |
|||||
|
Guidance |
|
Variance |
|
Actuals |
|
Actuals |
|||||
Net revenue |
|
|
|
|
||||||||
Net revenue |
1,750 |
|
39 |
|
1,789 |
|
1,673 |
|
||||
GAAP-based financial data |
|
|
|
|
||||||||
Change in deferred net revenue (online-enabled games)1 |
875 |
|
(87 |
) |
788 |
|
727 |
|
||||
Cost of revenue |
|
|
|
|
||||||||
Cost of revenue |
625 |
|
6 |
|
631 |
|
601 |
|
||||
GAAP-based financial data |
|
|
|
|
||||||||
Acquisition-related expenses |
(50 |
) |
6 |
|
(44 |
) |
— |
|
||||
Stock-based compensation |
— |
|
(1 |
) |
(1 |
) |
(1 |
) |
||||
Operating expenses |
|
|
|
|
||||||||
Operating expenses |
1,100 |
|
(44 |
) |
1,056 |
|
821 |
|
||||
GAAP-based financial data |
|
|
|
|
||||||||
Acquisition-related expenses |
(35 |
) |
(26 |
) |
(61 |
) |
(5 |
) |
||||
Stock-based compensation |
(135 |
) |
7 |
|
(128 |
) |
(110 |
) |
||||
Income before tax |
|
|
|
|
||||||||
Income before tax |
8 |
|
83 |
|
91 |
|
245 |
|
||||
GAAP-based financial data |
|
|
|
|
||||||||
Acquisition-related expenses |
85 |
|
20 |
|
105 |
|
5 |
|
||||
Change in deferred net revenue (online-enabled games)1 |
875 |
|
(87 |
) |
788 |
|
727 |
|
||||
Stock-based compensation |
135 |
|
(6 |
) |
129 |
|
111 |
|
||||
Tax rate used for management reporting |
18 |
% |
|
18 |
% |
18 |
% |
|||||
Earnings per share |
|
|
|
|
||||||||
Basic |
0.02 |
|
0.21 |
|
0.23 |
|
0.73 |
|
||||
Diluted |
0.02 |
|
0.21 |
|
0.23 |
|
0.72 |
|
||||
Number of shares |
|
|
|
|
||||||||
Basic |
284 |
|
(1 |
) |
283 |
|
290 |
|
||||
Diluted |
287 |
|
(2 |
) |
285 |
|
292 |
|
1 |
The change in deferred net revenue (online-enabled games) in the unaudited condensed consolidated statements of cash flows does not necessarily equal the change in deferred net revenue (online-enabled games) in the unaudited condensed consolidated statements of operations primarily due to the impact of unrecognized gains/losses on cash flow hedges. |
|
|
||||||
Unaudited Condensed Consolidated Balance Sheets |
||||||
(in $ millions) |
||||||
|
|
|
||||
|
|
|
||||
ASSETS |
|
|
||||
Current assets: |
|
|
||||
Cash and cash equivalents |
2,670 |
5,260 |
|
|||
Short-term investments |
346 |
1,106 |
|
|||
Receivables, net |
965 |
521 |
|
|||
Other current assets |
377 |
326 |
|
|||
Total current assets |
4,358 |
7,213 |
|
|||
Property and equipment, net |
522 |
491 |
|
|||
|
5,389 |
2,868 |
|
|||
Acquisition-related intangibles, net |
1,052 |
309 |
|
|||
Deferred income taxes, net |
2,130 |
2,045 |
|
|||
Other assets |
479 |
362 |
|
|||
TOTAL ASSETS |
13,930 |
13,288 |
|
|||
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
||||
Current liabilities: |
|
|
||||
Accounts payable |
86 |
96 |
|
|||
Accrued and other current liabilities |
1,443 |
1,341 |
|
|||
Deferred net revenue (online-enabled games) |
2,101 |
1,527 |
|
|||
Total current liabilities |
3,630 |
2,964 |
|
|||
Senior notes, net |
1,878 |
1,876 |
|
|||
Income tax obligations |
326 |
315 |
|
|||
Deferred income taxes, net |
75 |
43 |
|
|||
Other liabilities |
404 |
250 |
|
|||
Total liabilities |
6,313 |
5,448 |
|
|||
|
|
|
||||
Stockholders’ equity: |
|
|
||||
Common stock |
3 |
3 |
|
|||
Retained earnings |
7,608 |
7,887 |
|
|||
Accumulated other comprehensive income (loss) |
6 |
(50 |
) |
|||
Total stockholders’ equity |
7,617 |
7,840 |
|
|||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY |
13,930 |
13,288 |
|
2 |
Derived from audited consolidated financial statements. |
|
|
||||||||||||
Unaudited Condensed Consolidated Statements of Cash Flows |
||||||||||||
(in $ millions) |
||||||||||||
|
|
|
|
|
|
|
|
|
||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||
|
|
2021 |
|
2020 |
|
2021 |
|
2020 |
||||
OPERATING ACTIVITIES |
|
|
|
|
||||||||
Net income |
66 |
|
211 |
|
564 |
|
761 |
|
||||
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
||||||||
Depreciation, amortization and accretion |
146 |
|
46 |
|
345 |
|
123 |
|
||||
Stock-based compensation |
129 |
|
111 |
|
403 |
|
326 |
|
||||
Change in assets and liabilities |
|
|
|
|
||||||||
Receivables, net |
56 |
|
(348 |
) |
(390 |
) |
(309 |
) |
||||
Other assets |
(24 |
) |
85 |
|
(75 |
) |
(28 |
) |
||||
Accounts payable |
(51 |
) |
(77 |
) |
(9 |
) |
29 |
|
||||
Accrued and other liabilities |
433 |
|
341 |
|
183 |
|
245 |
|
||||
Deferred income taxes, net |
— |
|
14 |
|
(140 |
) |
(18 |
) |
||||
Deferred net revenue (online-enabled games) |
779 |
|
741 |
|
574 |
|
434 |
|
||||
Net cash provided by operating activities |
1,534 |
|
1,124 |
|
1,455 |
|
1,563 |
|
||||
INVESTING ACTIVITIES |
|
|
|
|
||||||||
Capital expenditures |
(48 |
) |
(30 |
) |
(135 |
) |
(93 |
) |
||||
Proceeds from maturities and sales of short-term investments |
65 |
|
670 |
|
1,193 |
|
2,088 |
|
||||
Purchase of short-term investments |
(69 |
) |
(640 |
) |
(438 |
) |
(2,056 |
) |
||||
Acquisitions, net of cash acquired |
3 |
|
— |
|
(3,391 |
) |
— |
|
||||
Net cash used in investing activities |
(49 |
) |
— |
|
(2,771 |
) |
(61 |
) |
||||
FINANCING ACTIVITIES |
|
|
|
|
||||||||
Proceeds from issuance of common stock |
3 |
|
13 |
|
44 |
|
56 |
|
||||
Cash dividends paid |
(48 |
) |
(49 |
) |
(145 |
) |
(49 |
) |
||||
Cash paid to taxing authorities for shares withheld from employees |
(72 |
) |
(67 |
) |
(193 |
) |
(144 |
) |
||||
Repurchase and retirement of common stock |
(325 |
) |
(326 |
) |
(975 |
) |
(404 |
) |
||||
Net cash used in financing activities |
(442 |
) |
(429 |
) |
(1,269 |
) |
(541 |
) |
||||
Effect of foreign exchange on cash and cash equivalents |
(3 |
) |
18 |
|
(5 |
) |
43 |
|
||||
Change in cash and cash equivalents |
1,040 |
|
713 |
|
(2,590 |
) |
1,004 |
|
||||
Beginning cash and cash equivalents |
1,630 |
|
4,059 |
|
5,260 |
|
3,768 |
|
||||
Ending cash and cash equivalents |
2,670 |
|
4,772 |
|
2,670 |
|
4,772 |
|
||||
|
||||||||||||||||||
Unaudited Supplemental Financial Information and Business Metrics |
||||||||||||||||||
(in $ millions, except per share data) |
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
Q3 |
|
Q4 |
|
Q1 |
|
Q2 |
|
Q3 |
|
YOY % |
||||||
|
|
FY21 |
|
FY21 |
|
FY22 |
|
FY22 |
|
FY22 |
|
Change |
||||||
Net revenue |
|
|
|
|
|
|
||||||||||||
Net revenue |
1,673 |
|
1,346 |
|
1,551 |
|
1,826 |
|
1,789 |
|
7 |
% |
||||||
GAAP-based financial data |
|
|
|
|
|
|
||||||||||||
Change in deferred net revenue (online-enabled games)1 |
727 |
|
144 |
|
(215 |
) |
25 |
|
788 |
|
|
|||||||
Gross profit |
|
|
|
|
|
|
||||||||||||
Gross profit |
1,072 |
|
1,027 |
|
1,236 |
|
1,332 |
|
1,158 |
|
8 |
% |
||||||
Gross profit (as a % of net revenue) |
64 |
% |
76 |
% |
80 |
% |
73 |
% |
65 |
% |
|
|||||||
GAAP-based financial data |
|
|
|
|
|
|
||||||||||||
Acquisition-related expenses |
— |
|
4 |
|
22 |
|
22 |
|
44 |
|
|
|||||||
Change in deferred net revenue (online-enabled games)1 |
727 |
|
144 |
|
(215 |
) |
25 |
|
788 |
|
|
|||||||
Stock-based compensation |
1 |
|
1 |
|
1 |
|
2 |
|
1 |
|
|
|||||||
Operating income |
|
|
|
|
|
|
||||||||||||
Operating income |
251 |
|
175 |
|
322 |
|
340 |
|
102 |
|
(59 |
%) |
||||||
Operating income (as a % of net revenue) |
15 |
% |
13 |
% |
21 |
% |
19 |
% |
6 |
% |
|
|||||||
GAAP-based financial data |
|
|
|
|
|
|
||||||||||||
Acquisition-related expenses |
5 |
|
18 |
|
62 |
|
52 |
|
105 |
|
|
|||||||
Change in deferred net revenue (online-enabled games)1 |
727 |
|
144 |
|
(215 |
) |
25 |
|
788 |
|
|
|||||||
Stock-based compensation |
111 |
|
109 |
|
125 |
|
149 |
|
129 |
|
|
|||||||
Net income |
|
|
|
|
|
|
||||||||||||
Net income |
211 |
|
76 |
|
204 |
|
294 |
|
66 |
|
(69 |
%) |
||||||
Net income (as a % of net revenue) |
13 |
% |
6 |
% |
13 |
% |
16 |
% |
4 |
% |
|
|||||||
GAAP-based financial data |
|
|
|
|
|
|
||||||||||||
Acquisition-related expenses |
5 |
|
18 |
|
62 |
|
52 |
|
105 |
|
|
|||||||
Change in deferred net revenue (online-enabled games)1 |
727 |
|
144 |
|
(215 |
) |
25 |
|
788 |
|
|
|||||||
Stock-based compensation |
111 |
|
109 |
|
125 |
|
149 |
|
129 |
|
|
|||||||
Tax rate used for management reporting |
18 |
% |
18 |
% |
18 |
% |
18 |
% |
18 |
% |
|
|||||||
Diluted earnings per share |
0.72 |
|
0.26 |
|
0.71 |
|
1.02 |
|
0.23 |
|
(68 |
%) |
||||||
Number of diluted shares used in computation |
|
|
|
|
|
|
||||||||||||
Basic |
290 |
|
288 |
|
286 |
|
285 |
|
283 |
|
|
|||||||
Diluted |
292 |
|
290 |
|
289 |
|
287 |
|
285 |
|
|
1 |
The change in deferred net revenue (online-enabled games) in the unaudited condensed consolidated statements of cash flows does not necessarily equal the change in deferred net revenue (online-enabled games) in the unaudited condensed consolidated statements of operations primarily due to the impact of unrecognized gains/losses on cash flow hedges. |
|
|
||||||||||||||||||
Unaudited Supplemental Financial Information and Business Metrics |
||||||||||||||||||
(in $ millions) |
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
Q3 |
|
Q4 |
|
Q1 |
|
Q2 |
|
Q3 |
|
YOY % |
||||||
|
|
FY21 |
|
FY21 |
|
FY22 |
|
FY22 |
|
FY22 |
|
Change |
||||||
QUARTERLY NET REVENUE PRESENTATIONS |
|
|
|
|
|
|
||||||||||||
Net revenue by composition |
|
|
|
|
|
|
||||||||||||
Full game downloads |
347 |
|
185 |
|
233 |
|
337 |
|
400 |
|
15 |
% |
||||||
Packaged goods |
375 |
|
65 |
|
89 |
|
280 |
|
216 |
|
(42 |
%) |
||||||
Full game |
722 |
|
250 |
|
322 |
|
617 |
|
616 |
|
(15 |
%) |
||||||
Live services and other |
951 |
|
1,096 |
|
1,229 |
|
1,209 |
|
1,173 |
|
23 |
% |
||||||
Total net revenue |
1,673 |
|
1,346 |
|
1,551 |
|
1,826 |
|
1,789 |
|
7 |
% |
||||||
Full game |
43 |
% |
19 |
% |
21 |
% |
34 |
% |
34 |
% |
|
|||||||
Live services and other |
57 |
% |
81 |
% |
79 |
% |
66 |
% |
66 |
% |
|
|||||||
Total net revenue % |
100 |
% |
100 |
% |
100 |
% |
100 |
% |
100 |
% |
|
|||||||
GAAP-based financial data |
|
|
|
|||||||||||||||
Full game downloads |
53 |
|
(19 |
) |
(5 |
) |
35 |
|
179 |
|
|
|||||||
Packaged goods |
83 |
|
(44 |
) |
(35 |
) |
44 |
|
105 |
|
|
|||||||
Full game |
136 |
|
(63 |
) |
(40 |
) |
79 |
|
284 |
|
|
|||||||
Live services and other |
591 |
|
207 |
|
(175 |
) |
(54 |
) |
504 |
|
|
|||||||
Total change in deferred net revenue (online-enabled games) by composition1 |
727 |
|
144 |
|
(215 |
) |
25 |
|
788 |
|
|
|||||||
|
|
|
|
|
|
|
||||||||||||
Net revenue by platform |
|
|
|
|
|
|
||||||||||||
Console |
1,191 |
|
879 |
|
972 |
|
1,198 |
|
1,138 |
|
(4 |
%) |
||||||
PC & Other |
326 |
|
295 |
|
361 |
|
377 |
|
374 |
|
15 |
% |
||||||
Mobile |
156 |
|
172 |
|
218 |
|
251 |
|
277 |
|
78 |
% |
||||||
Total net revenue |
1,673 |
|
1,346 |
|
1,551 |
|
1,826 |
|
1,789 |
|
7 |
% |
||||||
GAAP-based financial data |
|
|
|
|||||||||||||||
Console |
619 |
|
71 |
|
(278 |
) |
(29 |
) |
608 |
|
|
|||||||
PC & Other |
73 |
|
51 |
|
9 |
|
26 |
|
137 |
|
|
|||||||
Mobile |
35 |
|
22 |
|
54 |
|
28 |
|
43 |
|
|
|||||||
Total change in deferred net revenue (online-enabled games) by platform1 |
727 |
|
144 |
|
(215 |
) |
25 |
|
788 |
|
|
1 |
The change in deferred net revenue (online-enabled games) in the unaudited condensed consolidated statements of cash flows does not necessarily equal the change in deferred net revenue (online-enabled games) in the unaudited condensed consolidated statements of operations primarily due to the impact of unrecognized gains/losses on cash flow hedges. |
|
|
||||||||||||||
Unaudited Supplemental Financial Information and Business Metrics |
||||||||||||||
(in $ millions) |
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||
|
|
Q3 |
|
Q4 |
|
Q1 |
|
Q2 |
|
Q3 |
|
YOY % |
||
|
|
FY21 |
|
FY21 |
|
FY22 |
|
FY22 |
|
FY22 |
|
Change |
||
CASH FLOW DATA |
|
|
|
|
|
|
||||||||
Operating cash flow |
1,124 |
371 |
(143 |
) |
64 |
1,534 |
36 |
% |
||||||
Operating cash flow - TTM |
2,061 |
1,934 |
1,413 |
|
1,416 |
1,826 |
(11 |
%) |
||||||
Capital expenditures |
30 |
31 |
44 |
|
43 |
48 |
60 |
% |
||||||
Capital expenditures - TTM |
133 |
124 |
130 |
|
148 |
166 |
25 |
% |
||||||
Repurchase and retirement of common stock |
326 |
325 |
325 |
|
325 |
325 |
— |
% |
||||||
Cash dividends paid |
49 |
49 |
49 |
|
48 |
48 |
(2 |
%) |
||||||
DEPRECIATION |
|
|
|
|
|
|
||||||||
Depreciation expense |
37 |
38 |
40 |
|
39 |
41 |
11 |
% |
||||||
BALANCE SHEET DATA |
|
|
|
|
|
|
||||||||
Cash and cash equivalents |
4,772 |
5,260 |
2,838 |
|
1,630 |
2,670 |
|
|||||||
Short-term investments |
1,938 |
1,106 |
881 |
|
342 |
346 |
|
|||||||
Cash and cash equivalents, and short-term investments |
6,710 |
6,366 |
3,719 |
|
1,972 |
3,016 |
(55 |
%) |
||||||
Receivables, net |
778 |
521 |
557 |
|
1,031 |
965 |
24 |
% |
||||||
STOCK-BASED COMPENSATION |
|
|
|
|
|
|
||||||||
Cost of revenue |
1 |
1 |
1 |
|
2 |
1 |
|
|||||||
Research and development |
74 |
71 |
85 |
|
101 |
86 |
|
|||||||
Marketing and sales |
11 |
12 |
12 |
|
15 |
14 |
|
|||||||
General and administrative |
25 |
25 |
27 |
|
31 |
28 |
|
|||||||
Total stock-based compensation |
111 |
109 |
125 |
|
149 |
129 |
|
Category:
View source version on businesswire.com: https://www.businesswire.com/news/home/20220131005975/en/
Vice President, Investor Relations
650-628-0255
cevenden@ea.com
Vice President,
650-628-3601
jreseburg@ea.com
Source:
FAQ
What were Electronic Arts' preliminary financial results for Q3 FY22?
What is the expected revenue for Electronic Arts for FY22?
What is Electronic Arts' expected diluted earnings per share for FY22?
When will Electronic Arts declare its cash dividend?