Even though EA’s reported a better than expected 2nd quarter estimate, they also showed an increased loss from last year in their earnings report.
While total net revenue was $1.08 billion this year from $1.03 billion in the same period last year, the company posted $381 million in loss compared to $340 million last year. However, when you look at in non-GAAP (generally accepted accounting principles) terms, they showed a remarkably large increase in net income at $49 million up from $17 million last year. And they only lost $28 million this quarter compared to $211 million in the same quarter last year
Cash flow from operations is reported to be $490 million against $117 million last year. Naturally, you can thank successes like FIFA 13, Madden and Battlefield 3 who’s premium service netted 2 million subscriptions.
EA president Frank Gibeau stated in an earnings release, “On the strength of our digital extensions, FIFA and Battlefield are the two biggest revenue events in our company’s history. Both are well on their way to becoming billion dollar annual franchises.”