EA's New Releases, Updates Could Drive Revenue Back Up
EA was a "bit off its game last year," but the video game publisher is now "in a good position to start leveling up," according to Dan Gallagher of the WALL STREET JOURNAL. While many "big games have come and gone over the years, history suggests publishers with diversified portfolios tend to survive." EA has "survived more successfully than most," with a "well-established perch in several of the top genres" of games. Its portfolio of "sports games alone generates" roughly $3B in annual revenue, about 60% of the company's total. So far this year, EA shares have "trailed the Nasdaq." But there are "several potential drivers in the months ahead." EA is "adding a new mode called Volta to this year's FIFA game, coming in September, that mimics street soccer." The next editions of EA's Madden and NHL games are also coming this quarter. Meanwhile, "Apex Legends," the publisher's "surprise free-to-play hit," has drawn a "dedicated audience of 8 million to 10 million weekly players and remains on track to generate between" $300-400M for this fiscal year (WALL STREET JOURNAL, 8/16).