Video games company Electronic Arts (EA) has cut its guidance for fiscal year 2025, following a slowdown in bookings.
The company now expects bookings between US$7 billion (A$11.15 billion) and $7.15 billion in the 2025 fiscal year, below its previous guidance of $7.5 billion to $7.8 billion.
“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 EA CEO Andrew Wilson. “We remain confident in our long-term strategy and expect a return to growth in FY26, as we execute against our pipeline.”
EA projects net bookings in fiscal Q3 will reach US$2.215 billion. Previous guidance for the quarter was $2.4 billion to $2.55 billion.
It anticipates GAAP net revenue to be around US$1.89 billion in Q3, and $1.11 in GAAP diluted earnings per share.
EA’s guidance at the beginning of fiscal year 2025 projected mid-single digit growth in net bookings for its live services. However, it now expects a mid-single digit decline due to a fall in bookings for its Global Football franchise, which includes EA Sports FC 25.
The newest installment in its Dragon Age franchise also reported 1.5 million players in Q3, almost 50% lower than EA’s expectations.
The company’s net bookings in fiscal Q2 exceeded guidance to reach US$2.08 billion, with revenue at $2.03 billion.
Other video games companies, such as Ubisoft, also saw a slump in bookings in recent months. Ubisoft reported a 52% year-over-year decline in net bookings last quarter.
EA’s full financial results for 2025’s fiscal Q3 will be released on 4 February.
EA’s share price (NASDAQ: EA) closed at US$142.35, down from its previous close at $143.28. Its market capitalisation is $37.3 billion.
