EA Q3 results out – MOH, NFS: Hot Pursuit sold 5million each
BioWare Star Wars MMO coming in “calendar 2011″.
Electronic Arts had announced its third quarter results, and despite some well-selling games in their lineup, registered a massive loss of $322 million, up by a lot of $82 million loss posted a year ago.
Net revenue decreased year-on-year for the three months ending December 31, down to $1.05 billion from $1.24 billion in the same period last year. Digital revenues saw an increase , however, posting up $211 million in Q3 compared to $152 million in the previous third quarter.
“We had a solid third quarter with non-GAAP earnings up more than 75 percent year-over-year,” said Eric Brown, Chief Financial Officer.
“EA reported 39 percent growth in digital and is tracking toward our $750 million full year non-GAAP digital revenue target.”
“We are pleased to report another strong quarter,” said Riccitiello. “Our $600 million stock buyback demonstrates our confidence in EA’s digital strategy.”
The publishers also announced that Medal of Honor, NFS: Hot Pursuit and Madden 11 have all sold over 5 million units. FIFA 11 sold more than 11.5 million units, a 16% increase over the 2010 iteration. The recently released Dead Space 2 is nearing a 2 million sales mark as well.
EA also spoke about the much awaited Star Wars MMO from BioWare. The company said it is incurring significant costs in developing Star Wars: The Old Republic, on which they have rumoredly spent anywhere between $100-$300 million. Riccitiello did not offer a number but said it was “higher than anything we have ever put in place”.
Surprisingly, EA said that the game only needs 500,000 subscribers to be profitable. However, a 1 million subscriber base would certainly “rings our bell, does very well for us economically.” “It’s our view that we can be very successful without fundamentally challenging the market leader because we think we’ll probably hit the smaller competitors harder when we get out there.”
You can read the entire fiscal report here.