Electronic Arts to Report Q2 Earnings: What's in Store for EA Stock?

Electronic Arts EA is slated to report its second-quarter fiscal 2025 results on Oct. 29.

For the second quarter of fiscal 2025, EA expects GAAP revenues between $1.9 billion and $2 billion.

The Zacks Consensus Estimate for fiscal second-quarter revenues is pegged at $2.03 billion, indicating growth of 11.55% from the figure reported in the year-ago quarter. 

Electronic Arts anticipates earnings in the range of 76 to 93 cents per share.

The consensus mark for fiscal second-quarter earnings is pegged at $2.02 per share, suggesting an increase of 38.26% from the year-ago reported figure. The earnings estimate is down by a cent over the past 30 days.

Find the latest EPS estimates and surprises on Zacks Earnings Calendar.

Electronic Arts Inc. Price and EPS Surprise

Electronic Arts Inc. Price and EPS Surprise

Electronic Arts Inc. price-eps-surprise | Electronic Arts Inc. Quote

Let’s see how things have shaped up for the upcoming announcement:

Factors to consider

EA’s launch of the Lovestruck pack within the Sims games and Season 22 of Apex Legends is expected to have expanded clientele, thereby driving the top line in the second quarter of fiscal 2025. The company’s dedicated effort to enhance its user-generated content offering to drive franchise growth is expected to be reflected in second-quarter fiscal 2025 results.

Electronic Arts’ launch of EA SPORTS College Football 25 is expected to have resulted in active user growth in the second quarter fiscal 2025. The creation of photo imagery of 150 stadiums and engaging over 11000 players across the United States by using AI and ML is expected to have enhanced customer momentum. 

EA’s Team Builder, creation and customization UGX suite, is expected to have driven customer experience and the top line in second-quarter fiscal 2025. EA’s strategic approach to enhance engagement and monetization bodes well for investors.

The launch of Madden NFL 25, with enhanced audio and visual deliveries and a new version of FieldSENSE, is expected to have aided the franchise’s popularity in the second quarter of fiscal 2025. 
 
EA’s Rush, a social 5v5 experience launched as a content creation and capture tool, is expected to have been a game-changer by providing a more developed gaming mode to players across multiple platforms thereby aiding user retention. 

This Zacks Rank #3 (Hold) company’s top line is expected to have gained from the launch of FI ’24, which allows users to immerse themselves in high-quality entertainment competition. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Stiff Competition Headwinds for EA’s Prospects

Intense competition from Microsoft MSFT owned Activision Blizzard, Take-Two Interactive TTWO and Nintendo NTDOY is expected to have remained a constant headwind.

Call of Duty: Warzone Mobile, launched by Microsoft’s Activision, TakeTwo’s NBA 2K25 and Nintendo’s World Championships NES Edition, are expected to have negatively impacted EA’s active user growth in the to-be-reported quarter.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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