NASDAQ$EA

Electronic Arts Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

EA's Q3 FY20 financial results were announced, marking an excellent quarter with new games and live services driving growth and delighting players worldwide.

Electronic Arts reported a strong third quarter with significant growth in net revenue and digital net revenue. The company launched several new games and saw increased engagement in its live services. They delivered record live services revenue, live services net bookings and operating cash flow.

  • Digital net bookings for the trailing twelve months were $4.128 billion, up 15% year-over-year.
  • EA launched Plants vs. Zombies: Battle for Neighborville, Need for Speed Heat, and Star Wars Jedi: Fallen Order during the quarter.
  • FIFA Ultimate Team matches were up nearly 40% year-over-year from launch through Q3.
  • The Sims 4 surpassed 20 million unique players worldwide life-to-date during the quarter.

Headline financials

Total Revenue

$1.59B

Previous: $1.29B+23.6%
EPS (adj)

$2.52

Previous: $1.93+30.6%
Net Bookings

$1.98B

No prior period
Capital Expenditures

-$100M

Previous: -$84M-19.0%
Free Cash Flow

$246M

Previous: $178M+38.2%
Net Income

$346M

Previous: $262M+32.1%
Operating Income

$361M

Previous: $242M+49.2%
Gross Profit

$1.09B

Previous: $876M+23.9%
Cash & Equivalents

$3.6B

Previous: $3.89B-7.3%
Total Assets

$11.2B

Previous: $8.86B+26.0%
Stock-Based Comp

$91M

Previous: $75M+21.3%

Revenue & EPS history

EA · Revenue · Quarterly

$1.59B

Q3 2020+23.6%vs Q3 2019
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

EA · $1.43B total across 3 segments · Q3 2020

  • Live Services & Other
    $677M+41.0%
  • Packaged Goods
    $469M+23.1%
  • Full Game Downloads
    $286M+15.8%

Forward guidance

Electronic Arts provided forward-looking statements as of January 30, 2020, with fiscal year 2020 expectations ending March 31, 2020.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

+1.1%

Avg return

Earnings day

+0.7%

Avg return

5 days after

+1.8%

Avg return

30 days after

53%

35 / 66 earnings

Positive

+18.0%

Q4 2014

Best reaction

-9.5%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026-2.1%-0.7%+0.7%
Q3 2026-1.2%-0.3%-1.7%
Q2 2026-0.1%-0.2%+0.9%
Q1 2026+0.0%+3.6%+9.5%
Q4 2025+0.6%-3.4%-3.2%
Q3 2025+7.6%+8.9%+15.5%
Q2 2025+3.4%+4.9%+13.1%
Q1 2025+2.1%+0.7%+1.6%
Q4 2024-4.1%-2.6%+5.2%
Q3 2024-0.7%-1.4%+0.6%
Q2 2024+3.6%+4.4%+11.3%
Q1 2024-7.4%-10.1%-12.0%
Q4 2023-0.8%-0.2%+1.1%
Q3 2023-9.5%-11.7%-12.9%
Q2 2023+2.1%+3.0%+4.5%
Q1 2023+1.8%+1.3%-2.4%
Q4 2022+7.5%+11.5%+21.2%
Q3 2022+3.4%+3.8%-3.6%
Q2 2022+1.6%-1.4%-10.6%
Q1 2022-2.1%-2.6%+4.9%
Q4 2021-0.7%-1.4%+3.6%
Q3 2021-3.5%-3.2%-10.0%
Q2 2021-4.9%-5.1%+2.7%
Q1 2021+4.2%+7.6%+3.6%
Q4 2020-1.3%-0.2%+0.3%
Q3 2020-3.8%-4.6%-9.7%
Q2 2020+0.0%-1.5%+4.2%
Q1 2020+4.1%+4.5%+4.7%
Q4 2019+0.1%+0.1%+2.8%
Q3 2019-9.3%+10.4%+12.4%
Q2 2019-0.2%+1.4%-5.3%
Q1 2019-8.7%-12.1%-12.0%
Q4 2018+5.7%+7.2%+10.5%
Q3 2018+7.9%+5.8%+3.8%
Q2 2018-2.6%-3.7%-9.6%
Q1 2018+0.2%-0.9%-0.9%
Q4 2017+13.0%+14.0%+19.4%
Q3 2017-1.0%-3.1%+3.8%
Q2 2017+0.8%+2.2%-3.7%
Q1 2017+2.6%+4.2%+6.7%
Q4 2016+13.7%
Q3 2016-7.1%
Q2 2016-6.1%
Q1 2016-0.9%
Q4 2015+2.7%
Q3 2015+10.4%
Q2 2015+5.5%
Q1 2015-6.2%
Q4 2014+18.0%
Q3 2014+3.1%
Q2 2014+4.7%
Q1 2014+5.8%
Q4 2013+17.9%
Q3 2013+5.2%
Q2 2013+3.7%
Q1 2013+4.0%
Q4 2012+1.1%
Q3 2012-4.0%
Q2 2012-6.0%
Q1 2012+2.5%
Q4 2011+1.7%
Q3 2011+0.4%
Q2 2011+0.0%
Q1 2011-2.2%
Q4 2010-3.8%
Q1 2010-1.8%

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