Thanks to a somewhat limited release line-up which included Portal 2, Alice: Madness Returns, Shadows of the Damned and Darkspore, EA saw sales in its packaged goods division slip during the first quarter of its 2012 fiscal year. The four titles (among other back catalog releases) raked in a net non-GAAP revenue of $195 million, a decrease from the $298 million packaged games pulled in during the same period last year.
However, a steady increase in digital sales softened the blow to the company's bottom line, pulling in a total non-GAAP revenue of $524 million, down from $539 million from last year's first quarter. EA's counting on both digital sales and packaged goods (supported by big-name releases like Battlefield 3 and the back-on-track Madden 12) to continue to grow as the year goes forward, and has increased its net revenue guidance for the entire fiscal year by nearly $100 million.
Reader Comments (23)
Posted: Jul 26th 2011 5:36PM Shadowbender said
monie iz confusseeng.
Posted: Jul 26th 2011 10:08PM GuardianLegend2 said
@Shadowbender
According to Reuters, EA lost $123 million for the quarter
Reply
According to Reuters, EA lost $123 million for the quarter
Posted: Jul 26th 2011 5:37PM darthnilloc said
I hadn't really thought about it before but it's a bit strange that EA handles Valve's retail sales, considering the fact that they'll be direct competitors in the digital market very soon.
Posted: Jul 26th 2011 5:50PM Shadowbender said
@darthnilloc
Huh, good point. Never really thought of it that way...
Reply
Huh, good point. Never really thought of it that way...
Posted: Jul 26th 2011 5:39PM The Cole Train said
Maybe it's because EA didn't seem to give a crap about Shadows of the Damned and Alice. Hmmmm
Posted: Jul 26th 2011 6:00PM xiLeShadow said
@The Cole Train
I'm going to pick Shadows of the Damned and Catherine for PS3 once its cheap
and
Alice: Madness Returns for PC, once a sale is on.
Reply
I'm going to pick Shadows of the Damned and Catherine for PS3 once its cheap
and
Alice: Madness Returns for PC, once a sale is on.
Posted: Jul 26th 2011 5:40PM MC Double Def DP said
They will see a dip in their digital sales too with all their PC releases not being on Steam.
Posted: Jul 26th 2011 5:49PM Shadowbender said
@MC Double Def DP
Absolutely they will. When a service like Steam is on top of their game, you don't reject that popularity.
Reply
Absolutely they will. When a service like Steam is on top of their game, you don't reject that popularity.
Posted: Jul 26th 2011 5:46PM Cranky Penguin said
EA can't wait for physical sales to go away. I hope they never do.
Posted: Jul 26th 2011 6:07PM spekkio said
I want to know what GAAP revenue is god damn it!
Posted: Jul 26th 2011 6:07PM Schlecht said
EA and Portal 2. Oh man, I missed something. (Wikipedia) Oh... just a retail distributor?
...Yes, I'm a noob apparently. I associated Portal and L4D with Valve and Valve alone.
...Yes, I'm a noob apparently. I associated Portal and L4D with Valve and Valve alone.
Posted: Jul 26th 2011 6:07PM spekkio said
Before any of your accounting undergrads points out what GAAP stands for, I meant I wanted to know what THE gaap revenue is.
Posted: Jul 26th 2011 6:08PM spekkio said
I don't often reply to myself. :(
Posted: Jul 26th 2011 6:20PM KungFuChaosNinja said
It makes me so damn sad that Alice and Shadows flopped in sales.
Gamers: We want new and fresh!
Then the damn things come out and they don't support them. Alice was lengthy and quite excellent. Shadows is short, but it makes up for it with a memorable campaign. It's something you want to have on your shelf until the end of time, along with Alice.
Gamers: We want new and fresh!
Then the damn things come out and they don't support them. Alice was lengthy and quite excellent. Shadows is short, but it makes up for it with a memorable campaign. It's something you want to have on your shelf until the end of time, along with Alice.
Posted: Jul 26th 2011 6:22PM GuardianLegend said
Wow EA sold more than twice as much digital stuff than boxed stuff. What were people buying???
Posted: Jul 26th 2011 6:28PM GuardianLegend2 said
@GuardianLegend
ah nevermind.. read the press release wrong
Reply
ah nevermind.. read the press release wrong
Posted: Jul 26th 2011 7:23PM kcswanko said
I go back and forth. Most of the time I do want to actually have a disk in hand and on a shelf but I do love picking through digital games like picking a new song on your MP3 player.
Either way it doesn't matter , physically games are going away.
Either way it doesn't matter , physically games are going away.
Posted: Jul 27th 2011 12:35AM hiruuamon said
EA losing more money, but still buying companies left and right...go figure...how long can this last?
Posted: Jul 27th 2011 7:36AM TylerDurden102680 said
@hiruuamon A long time when sheep keep buying Madden every damn year.
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