Electronic Arts Inc. Able To Beat On Earnings And Revenue For Fiscal 2016 Q1

Based in Redwood City, California, Electronic Arts Inc. (EA – Analyst Report) develops, markets, publishes and distributes game software and online services for video game consoles, internet-connected consoles, personal computers, mobile phones and tablets worldwide. Thanks to the popularity of EA-created games such as The Sims, Battlefield, FIFA, Madden NFL and Star Wars, the company has become easily the most recognizable game-creator in the industry.

The anticipation from investors for the company's fiscal year 2016 first-quarter earnings report has grown in the time leading up to the report as the results from a the past quarter was one that did not see a major game release. Expectations for the company are high, as EA has had a great run in the last year in regards to its stock price, as it has increased 108% in that time span.

This is especially true as EA has posted major earnings beats in each of the last 4 quarters, with the company having a whopping average surprise of 87.64%. Just its last quarter, ending 3/2015, EA posted a major beat of 92.86%, and investors are hoping the major beats and stock price increases will continue with its most recent report.

Electronic Arts Inc. is currently a Zacks Rank #2 (Buy), though that ranking could be on the move given the results of its most recent earnings report. Below we have highlighted several key figures from this recently released report:

Earnings: EA was able to beat earnings estimates, posting an actual EPS of $.01. The Zacks Consensus EPS estimate was -$.09.

Revenue: Reported revenues for EA beat estimates as well. EA had actual revenue of $693 million, beating the Zacks Consensus Estimate for revenue was $684 million.

Key Stat to Note: Monthly active users of EA's mobile games averaged more than 150 million in the quarter.

Stock Price: EA's stock declined to $69.25, a decrease of $3.05 (4.22%) in after-hours trading as of 5:10 PM ET.

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