Star Wars: Battlefront 2 Underperforms, Microtransactions Coming Back

[UPDATE] EA confirmed to WSJ that Battlefront II shipped 9 million copies during its launch quarter. This is down significantly from the 13 million copies the 2015 Battlefront reboot shipped during its launch quarter. Blake Jorgensen, EA’s CFO, said during an earnings call that Battlefront II underperformed. EA had modeled 10 million shipments for Battlefront II during its first quarter.

Additionally, Jorgensen told WSJ that Battlefront II will re-introduce microtransactions “in the next few months.” EA removed microtransactions from Battlefront II just before the game’s public release in the wake of significant blowback from the community.

More details from EA’s latest earnings report follow below.

For the quarter, EA reported revenue of $1.16 billion, compared to $1.15 billion. EA posted a loss of $186 million during the quarter, which is much worse than the $1 million loss it took during the same period last year. Importantly, EA mentioned that it incurred a $176 million tax expense during the quarter related to the recently adopted Tax Cuts and Jobs Act.

There were some financial bright spots during the quarter for EA, including the fact that digital revenue, which is higher margin, is taking a bigger share. For this latest quarter, digital revenue was $780 million, compared to $380 million for packaged goods. For the same period last year, digital revenue was $685 million, compared to $464 for packaged sales.

Here are some other takeaways from the EA report:

  • The “FIFA community” on console alone rose to 42 million players.
  • FIFA Mobile added 26 million players in the quarter alone.
  • FIFA Ultimate Team’s player base jumped by 12 percent year over year.
  • Battlefield 1 now has 25 million unique players since it launched.
  • The Sims 4’s player base grew by 35 percent compared to last year.

Leave a reply