Financial · May 1, 2024

Electronic Arts Inc. Q4 and FY24 Results

Summary

The presentation delivers Electronic Arts’ fiscal‑2024 financial performance and outlines expectations for fiscal‑2025, serving as a comprehensive update for investors and analysts. It emphasizes that FY24 net bookings reached $7.43 billion, a modest 1 percent increase year‑over‑year, with live‑services contributing 73 percent of total bookings. The sports franchise generated $5.4 billion, while Apex Legends added $3.4 billion, underscoring the continued strength of core IPs. GAAP operating margin stood at 20.1 percent and non‑GAAP margin at 31.5 percent, supported by operating cash flow of $2.315 billion and a GAAP earnings‑per‑share of $4.68. A $5 billion stock‑repurchase program, $2.3 billion of which is allocated for FY24, reflects confidence in cash generation. Guidance for FY25 projects net revenue between $7.1 billion and $7.5 billion, GAAP EPS of $0.73‑$0.90, and operating margins of 18.0‑20.6 percent (GAAP) and 29.6‑31.7 percent (non‑GAAP). Net bookings are expected to range from $7.3 billion to $7.7 billion, with Q1 FY25 revenue anticipated at $1.575‑$1.675 billion. The outlook incorporates a constant‑currency adjustment and a foreign‑exchange hedging program that modestly reduces reported bookings and expenses. The financial data are presented on both GAAP and non‑GAAP bases, with reconciliations that exclude acquisition‑related costs, stock‑based compensation, restructuring charges, and capital expenditures. Constant‑currency figures are derived using weighted‑average exchange rates and reflect the impact of hedging. Platform‑level breakdowns show console bookings of $4.614 billion, PC and other platforms at $1.629 billion, and mobile at $1

From the report

Safe Harbor Statement Select FY24 Highlights Table of Net Bookings Results Contents Core Business and FY25 Title Slate FY24 Actuals & Guidance GAAP to Non-GAAP Reconciliation Appendix

Safe Harbor Statement Please review our risk factors on Form 10- Q filed with the SEC Some statements set forth in this document, including the information relating to EA’s fiscal 2025 guidance information and title slate 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, ac

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 and trends; 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, 2023. These forward-looking statements are current as of May 7, 2024. 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 herein are estimates based on information currently available to Electronic Arts.

e current as of May 7, 2024. 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 herein 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, 2024. 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, 2024.

Select FY24 Highlights EA SPORTS Our global football franchise 5.4B Apex Legends 3.4B in grew net bookings by lifetime net bookings high-teens percent in FY24 Live Services Net Bookings in FY24 73% of total net bookings 7.4B New stock repurchase 2.3B program of $5B over 3 years Total net bookings years Record Fiscal Year Operating +1% year over year in FY24 Reco Cash Flow

Net Bookings by Composition (in $ millions) Quarterly Fiscal Year YoY YoY CC YoY YoY CC 7,515 7,341 7,430 +1% +3% 1,946 1,751 324 1,666 (14%) (14%) 2,145 1,811 2,005 +11% +12% 267 259 (20%) (21%) 1,484 1,622 1,407 (13%) (12%) 5,370 5,530 5,425 (2%) (1%) Q4 FY22 Q4 FY23 Q4 FY24 FY22 FY23 FY24 Full game Live services and other

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Words: 2,790
Format: PDF
Type: Financial

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