# Electronic Arts Inc. (EA) — Financial Analysis

**Exchange:** NASDAQ  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-13  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/EA/thesis · /stocks/EA/memo

## Financial Snapshot

---
ticker: EA
step: 04
generated: 2026-05-12
source: quick-research
---

### Electronic Arts Inc. (EA) — Financial Snapshot

#### Income Statement Summary

*Note: EA fiscal year ends March 31. FY2024 = April 2023–March 2024; FY2025 = April 2024–March 2025.*

| Metric | FY2023 | FY2024 | FY2025 | YoY |
|--------|--------|--------|--------|-----|
| Revenue (net bookings) | $7.43B | $7.56B | $7.46B | -1.3% |
| Gross Margin | ~79% | ~79% | ~79% | flat |
| Operating Margin | ~18% | ~20% | ~20% | flat |
| Net Income | ~$0.79B | ~$1.00B | ~$0.95B | -5% |
| EPS (diluted, adj.) | ~$2.65 | ~$3.46 | ~$3.50 | +1% |

*FY2025 net bookings of $7.463B slightly below FY2024 ($7.562B), driven by EA SPORTS FC 25 underperformance and weaker-than-expected Dragon Age: The Veilguard sales. Live services held steady at ~$5.6B; full game net bookings declined. FY2026 guidance: net bookings $7.6–8.0B.*

#### Cash Flow & Balance Sheet (FY2025)

| Metric | Value |
|--------|-------|
| Operating Cash Flow | ~$2.0B |
| Free Cash Flow | ~$1.86B |
| FCF Margin | ~25% |
| Cash & Equivalents | ~$3.0B |
| Total Debt | ~$1.6B |
| Net Cash | ~$1.4B (net cash positive) |

#### Key Ratios (approximate)
- P/E: ~20x (reported) | FCF Yield: ~5% at current market cap
- EV/EBITDA: ~14x | Dividend Yield: ~0.7%
- Revenue Growth (TTM): ~-1% | FCF Margin: ~25%
- Share Buybacks: ~$1.5B returned in FY2025; $5B+ buyback authorization active

#### Growth Profile
EA is in a transition year: FY2025 saw revenue essentially flat as two major titles underdelivered. The live services base (~$5.6B, up modestly) provides revenue stability. FY2026 is set up as a major release year with EA SPORTS FC 26, Battlefield (reboot), skate., and The Sims 5 — if execution succeeds, net bookings could inflect toward $7.6–8.0B. The company has been restructuring (cutting ~1,900 jobs, ~$125M in charges) to reduce cost structure and improve operating leverage. The potential Saudi PIF acquisition (~$55–56.6B implied enterprise value) represents an exogenous catalyst.

#### Forward Estimates
- **FY2026**: Net bookings $7.6–8.0B (company guidance); adj. EPS growth expected mid-single-digit if titles land; Battlefield reboot and EA SPORTS FC 26 are the key drivers
- **FY2027+**: Skate. reboot and The Sims 5 (free-to-play transition) as multi-year engagement platforms; mobile expansion in EA SPORTS FC and Apex Legends
- **Capital return**: ~$1.5B/year in buybacks expected; dividend at $0.76/share annualized

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/EA/fundamental

## Navigation

- Overview: /stocks/EA
- Financials (this page): /stocks/EA/financials
- Thesis: /stocks/EA/thesis
- Investment Memo: /stocks/EA/memo
- Coverage universe: /stocks