Shares of Electronic Arts Inc. (EA) slipped over 16% on Thursday morning after the videogame maker cut its annual forecast.
EA is currently trading at $118.53, down $23.82 or 16.73%, on a volume of 4.4 million shares, above average volume of 2.1 million, on the Nasdaq. The stock opened its trading at $117.26 after closing Wednesday at $142.35. The stock has traded between $117.01 and $168.50 in the past 52-week period.
EA now expects net bookings of about $2.215 billion for the third quarter. It previously had forecast Q3 net bookings of $2.4 billion to $2.55 billion. For the full year 2025, the company now expects bookings of $7.000 billion to $7.150 billion, down from the prior estimate of $7.5 billion to $7.8 billion.
For its third quarter, EA now expects net revenue to be approximately $1.883 billion and roughly $1.11 in earnings per share.
EA's initial guidance for fiscal year 2025 anticipated mid-single-digit growth in live services net bookings. However, the company now projects a mid-single-digit decline, with Global Football accounting for the majority of the change.
"During Q3, we continued to deliver high-quality games and experiences across our portfolio; however, Dragon Age and EA SPORTS FC 25 underperformed our net bookings expectations," said Andrew Wilson, CEO of EA. "This month, our teams delivered a comprehensive gameplay refresh in addition to our annual Team of the Year update in FC 25; positive player feedback and early results are encouraging. We remain confident in our long-term strategy and expect a return to growth in FY26, as we execute against our pipeline."
For comments and feedback contact: editorial@rttnews.com
Business News
December 19, 2025 15:10 ET U.S. inflation data and interest rate decisions by major central banks were the highlights of this busy week for economics news flow. Employment data and survey results on the housing markets also gained attention in the U.S. In Europe, the European Central Bank and Bank of England announced their policy decisions and macroeconomic projections.