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How Mobile Gaming Continues to Drive EA’s Revenue

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Increase in user engagement and gameplay

As we’ve learned, Electronic Arts (EA) is aiming to build a robust mobile gaming portfolio with live services and content updates. EA added ship battles to Star Wars: Galaxy of Heroes in fiscal 3Q17, increasing the average game time per user to 155 minutes per day. In fiscal 4Q17, its average game time per user rose to 162 minutes.

The monthly active players for The Sims 4, which was launched in 2014, rose 33% YoY (year-over-year) in fiscal 4Q17, primarily driven by downloadable content packs made available throughout the year, various game updates, and the introduction of fan-requested features.

Madden NFL Mobile is one of the top games on iOS (AAPL) for the third consecutive season, whereas NBA LIVE Mobile and FIFA Mobile are also driving user engagement.

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Mobile gaming revenue rose 1.2% YoY in fiscal 4Q17

As we can see in the chart above, EA’s mobile gaming revenue rose 1.2% YoY to $175 million in fiscal 4Q17 driven by the success of Star Wars: Galaxy of Heroes, FIFA Online, NBA LIVE Mobile, and FIFA Mobile.

Electronic Arts’ mobile revenue rose 21.0% YoY in fiscal 2Q17 and 7% YoY in fiscal 3Q17. Its mobile revenue accounted for 26.3% of its total digital revenue in fiscal 2Q17, 16% of its total digital revenue in fiscal 3Q17, and 19.8% of its total digital revenue in fiscal 4Q17.

EA expects its mobile business to rise between 5% and 10% in fiscal 2018 driven by continued positive performances from the above-mentioned games.

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