Electronic Arts Lowers Financial 2019 Net Bookings Outlook

REDWOOD SHORES (Alliance News) - Electronic Arts Inc said Thursday it is revising its net ...

Alliance News 30 August, 2018 | 1:51PM
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REDWOOD SHORES (Alliance News) - Electronic Arts Inc said Thursday it is revising its net bookings outlook for fiscal 2019, driven by an update to the Battlefield V launch date, the continuing impact of foreign exchange rates, and a revised mobile forecast.

The company has now announced November 20 as the launch date for Battlefield V, pushing back the release date by four weeks.

Electronic Arts has updated its fiscal year 2019 net bookings guidance from USD5.55 billion to USD5.20 billion. The company noted that about USD115 million of this change are driven by the movement in foreign exchange rates. However, the same movement in foreign exchange rates is also driving operating expenses lower.

Combined with its hedging program, the company said this will significantly limit the impact of foreign exchange rates on net income.

"We're updating our fiscal year guidance to reflect the updated launch date for Battlefield V, the ongoing impact of foreign exchange rate changes, and our current outlook for our mobile business. Our core businesses, including FIFA Ultimate Team, are strong, we think our players are going to love Battlefield V, and excitement is building for our new IP, Anthem," Electronic Arts C Operating Officer and Chief Financial Officer Blake Jorgensen said.

Electronic Arts noted that moving the launch of Battlefield V out by four weeks will enable it to deliver the best possible experience for gamers, but will push some net bookings out of fiscal year 2019 and into fiscal year 2020. In addition, the company has revised its expectations for its mobile business.

Electronic Arts reaffirmed its second-quarter operating guidance provided at the end of July. The company will announce its results for the second quarter ending September 30 on October 30, 2018.

Copyright RTT News/dpa-AFX

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