Electronic Arts 1Q Net Income Up 32%

Videogame maker beats forecast.

Electronic Arts Inc.'s first-quarter net income was up 32%, beating the videogame maker's forecast. The Redwood City, Calif., company also raised the lower end of its fiscal-year guidance.

Net income for the first quarter rose to $24 million, or 8 cents a share, from $18.3 million, or 6 cents a share, a year ago.

In April, the company said it expected earnings to be between break-even and 5 cents a share in the first quarter, which ended June 30. Excluding items, net income was $25 million, or 8 cents a share.

Net revenue for the first quarter was up 22% to $432 million from $353 million a year ago. In April the company said it expected revenue between $390 million and $430 million.

For the fiscal year ending in March 2005, Electronic Arts expects to earn $2 to $2.10 a share on revenue of $3.3 billion to $3.4 billion. In April, the company predicted earnings of $1.95 to $2.10 a share on revenue of $3.25 billion to $3.40 billion. A year ago the company earned $1.87 a share on revenue of $2.95 billion.

The company said its sales were driven by Harry Potter and the Prisoner of Azkaban, EA SPORTS Fight Night 2004 and UEFA Euro 2004, each of which sold more than 1 million units, according to EA.

AP LogoCopyright 2004 Dow Jones & Company, Inc. All rights reserved.

The Biz premium subscriber content has moved to Billboard.com/business.

To simplify subscriber access, we have temporarily disabled the password requirement.