Executive Summary
In QQ1 2025, Electronic Arts Inc reported revenues of $1.65 billion, reflecting a significant decline of 14.09% year-over-year (YoY) and a 7.08% quarter-over-quarter (QoQ) decrease. The net income stood at $280 million, down 30.35% YoY but showing a promising recovery with a 53.85% increase from the previous quarter. The company continues to face headwinds in its core gaming segments, which remain heavily influenced by competition, shifts in consumer behavior, and macroeconomic conditions.
Despite the decline in revenue, management emphasized the strength of its franchise titles and ongoing investments in innovation and digital distribution as vital areas for long-term growth. The company’s strategic focus on leveraging its existing intellectual property—especially within the highly anticipated sports and battle royale segments—could provide a pathway towards stabilizing revenues in upcoming quarters.
Key Performance Indicators
Revenue
1.65B
QoQ: -7.08% | YoY:-14.09%
Gross Profit
1.37B
83.06% margin
QoQ: -0.44% | YoY:-11.76%
Operating Income
369.00M
QoQ: 14.60% | YoY:-31.92%
Net Income
280.00M
QoQ: 53.85% | YoY:-30.35%
EPS
1.05
QoQ: 54.41% | YoY:-29.05%
Revenue Trend
Margin Analysis
Key Insights
- **Q1 2025 Revenue:** $1.65 billion
- **YoY Change:** -14.09%
- **QoQ Change:** -7.08%
- **Gross Profit:** $1.373 billion
- **Gross Profit Margin:** 83.06%