Electronic Arts FY2026 Q4 Earnings Release

1
EA Delivers Record Fiscal Year in Net Bookings and Operating Cash Flow, Underpinned by a Successful Battlefield 6 Launch and Live Services Portfolio Growth

REDWOOD CITY, CA – May 5, 2026 – (NASDAQ: EA) today announced preliminary financial results for its
fourth quarter and fiscal year ended March 31, 2026.

“Driven by our talented teams and disciplined execution, we delivered a record FY26, highlighted by the
incredibly successful launch of our iconic Battlefield franchise,” said Andrew Wilson, CEO of Electronic Arts.
“With the recent completion of a debt process that was met with strong investor demand and our ongoing
constructive engagement with regulators, we look ahead to closing the transaction and the opportunities it will
unlock.”

Selected Operating Highlights and Metrics

● Net bookings
1 were a record $8.026 billion in FY26, up 9% year -over-year.
● Battlefield 6 was the best performing Battlefield in a fiscal year setting numerous franchise fiscal year
records.
● Global Football net bookings was up mid-single-digits for FY26 with growth across EA SPORTS FC 26,
FC Online, and FC Mobile.
● Apex Legends delivered its strongest net bookings quarter of the fiscal year in Q4 reflecting continued
momentum as engagement and monetization continue to improve. For FY26, Apex Legends net
bookings finished up double digits year -over-year.

Selected Financial Highlights and Metrics
● Net revenue for FY26 was $7.531 billion, up 1% year over year.
● Net cash provided by operating activities was $580 million for the quarter and $2.553 billion for the
fiscal year, up 6% and 23% year over year, respectively.

Dividend

EA has declared a quarterly cash dividend of $0.19 per share of the Company’s common stock. The dividend
is payable on June 17, 2026 to stockholders of record as of the close of business on May 27, 2026.

Quarterly Financial Highlights
Three Months Ended March 31, 2026 2025 (in $ millions, except per share amounts) Full game 609 437 Live services and other 1,511 1,458 Total net revenue 2,120 1,895

2
Net income 461 254 Diluted earnings per share 1.81 0.98 Operating cash flow 580 549 Value of shares repurchased – 1,375 Number of shares repurchased – 9.8 Cash dividend paid 48 48

Fiscal Year Financial Highlights

Twelve Months Ended March 31, 2026 2025 (in $ millions, except per share amounts) Full game 2,148 2,002 Live services and other 5,383 5,461 Total net revenue 7,531 7,463 Net income 887 1,121 Diluted earnings per share 3.51 4.25 Operating cash flow 2,553 2,079 Value of shares repurchased 750 2,500 Number of shares repurchased 5.3 17.6 Cash dividend paid 191 199

Operating Metric

The following is a calculation of our total net bookings for the periods presented:
Three Months Ended March 31, Twelve Months Ended March 31, 2026 2025 2026 2025 (in $ millions) Total net revenue 2,120 1,895 7,531 7,463
Change in deferred net revenue (online -enabled games) (256) (96) 495 (108) Total net bookings 1,864 1,799 8,026 7,355

Pending Acquisition by Investor Consortium
On September 29, 2025, EA announced that it has entered into a definitive agreement to be acquired by an
investor consortium (“the Consortium”) comprised of The Public Investment Fund, private investment funds
affiliated with Silver Lake Group, L.L.C. and private investment funds affiliated with Affinity Partners in an all –
cash transaction that values EA at an enterprise value of approximately $55 billion. There are a limited number

3
of regulatory reviews outstanding, and the parties are working diligently to complete these remaining reviews.
For additional information, please refer to EA’s filings with the Securities and Exchange Commission.
Conference Call and Supporting Documents
Given the pending transaction, Electronic Arts will not be hosting an earnings conference call this quarter.
For further information and discussion of EA’s financial results, please refer to the financial model of EA’s
historical results posted on EA’s IR Website at http://ir.ea.com
and EA’s upcoming Annual Report on Form 10-K
for the fiscal year ended March 31, 2026.

Forward-Looking Statements

Some statements set forth in this release contain forward-looking statements that are subject to change.
Statements including words such as “anticipate,” “believe,” “expect,” “intend,” “estimate,” “plan,” “predict,” “seek,”
“goal,” “will,” “may,” “likely,” “should,” “could” (and the negative of any of these terms), “future” and similar
expressions also identify forward-looking statements. These forward-looking statements are not guarantees of
future performance and reflect management’s current expectations. Our actual results could differ materially
from those discussed in the forward-looking statements. Some of the factors which could cause the Company’s
results to differ materially from its expectations include the following: sales of the Company’s products and
services; the Company’s ability to develop and support digital products and services, including managing online
security and privacy; outages of our products, services and technological infrastructure; the Company’s ability to
manage expenses; the competition in the interactive entertainment industry; governmental regulations; the
effectiveness of the Company’s sales and marketing programs; timely development and release of the
Company’s products and services; the Company’s ability to realize the anti cipated benefits of, and integrate,
acquisitions; the consumer demand for, and the availability of an adequate supply of console hardware units;
the Company’s ability to predict consumer preferences and trends; the Company’s ability to develop and
implement new technology; foreign currency exchange rate fluctuations; economic and geopolitical conditions;
changes in our tax rates or tax laws; the timing, receipt and terms and conditions of any required governmental
and regulatory approvals of the proposed tr ansaction with the Consortium that could delay the consummation of
the proposed transaction or cause the parties to abandon the proposed transaction; the occurrence of any event,
change or other circumstances that could give rise to the termination of the Merger Agreement entered into in
connection with the proposed transaction; the risk that the parties to the proposed transaction may not be able
to satisfy the conditions to the proposed transaction in a timely manner or at all; risks related to disruption of the
Company’s business resulting from the proposed transaction, including disruption of management time from
ongoing business operations due to the proposed transaction; risks relating to certain restrictions during the
pendency of the proposed transac tion that may impact the ability of the Company to pursue certain business
opportunities or strategic transactions; the risk that any announcements relating to the proposed transaction
could have adverse effects on the market price of the Company’s common stock, including if the proposed
transaction is not consummated; the risk of any unexpected costs or expenses resulting from the proposed
transaction; the risk of any litigation relating to the proposed transaction; the risk that the proposed transaction
a nd its announcement could have an adverse effect on the ability of the Company to retain and hire key
personnel and to maintain relationships with customers, vendors, partners, employees, stockholders and other
business relationships and on its operating r esults and business generally; the risks and uncertainties that are
described in the proxy statement that the Company has filed with the Securities Exchange Commission in
connection with the proposed transaction; and other factors described in Part II, Ite m 1A of Electronic Arts’ latest
Quarterly Report on Form 10-Q under the heading “Risk Factors”, as well as in other documents we have filed

4
with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the fiscal year
ended March 31, 2025.

These forward-looking statements are current as of May 5, 2026. Electronic Arts assumes no obligation to revise
or update any forward-looking statement, except as required by law. In addition, the preliminary financial results
set forth in this release are estimates based on information currently available to Electronic Arts.

While Electronic Arts believes these estimates are meaningful, they could differ from the actual amounts that
Electronic Arts ultimately reports in its Annual Report on Form 10-K for the fiscal year ended March 31, 2026.
Electronic Arts assumes no obligati on and does not intend to update these estimates prior to filing its Form 10-
K for the fiscal year ended March 31, 2026.

About Electronic Arts

Electronic Arts (NASDAQ: EA) is a global leader in digital interactive entertainment. The Company develops and
delivers games, content and online services for Internet-connected consoles, mobile devices and personal
computers.

In fiscal year 2026, EA posted GAAP net revenue of approximately $7.5 billion. Headquartered in Redwood City,
California, EA is recognized for a portfolio of critically acclaimed, high-quality brands such as EA SPORTS FC ™,
Battlefield™ , Apex Legends ™, The Sims™, EA SPORTS ™ Madden NFL, EA SPORTS ™ College Football,
Need for Speed™, Dragon Age™, Titanfall ™, Plants vs. Zombies™ and EA SPORTS F1 ®. More information
about EA is available at www.ea.com/news.

EA, EA SPORTS, EA SPORTS FC, Battlefield, Need for Speed, Apex Legends, The Sims, Dragon Age, Titanfall,
and Plants vs. Zombies are trademarks of Electronic Arts Inc. John Madden, NFL, and F1 are the property of
their respective owners and used with permis sion.

For additional information, please contact:

Andrew Uerkwitz Justin Higgs
Vice President, Investor Relations Vice President, Corporate Communications
650 -674 -7191 925 -502 -9253
auerkwitz@ea.com jhiggs@ea.com

1 Net bookings is defined as the net amount of products and services sold digitally or sold-in physically in the
period. Net bookings is calculated by adding total net revenue to the change in deferred net revenue for online-
enabled games.

ELECTRONIC ARTS INC. AND SUBSIDIARIES
Unaudited Condensed Consolidated Statements of Operations
(in $ millions, except per share data)

Three Months Ended March 31, Twelve Months Ended March 31,
2026 2025 2026 2025
Net revenue 2,120 1,895 7,531 7,463
Cost of revenue 364 368 1,584 1,543
Gross profit 1,756 1,527 5,947 5,920
Operating expenses:
Research and development 732 686 2,828 2,569
Marketing and sales 254 234 1,128 962
General and administrative 191 192 763 745
Amortization of intangibles 15 17 66 67
Restructuring — 3 — 57
Total operating expenses 1,192 1,132 4,785 4,400
Operating income 564 395 1,162 1,520
Interest and other income (expense), net 15 12 18 85
Income before provision for income taxes 579 407 1,180 1,605
Provision for income taxes 118 153 293 484
Net income 461 254 887 1,121
Earnings per share
Basic 1.84 0.99 3.55 4.28
Diluted 1.81 0.98 3.51 4.25
Number of shares used in computation
Basic 250 257 250 262
Diluted 254 259 253 264

ELECTRONIC ARTS INC. AND SUBSIDIARIES
Unaudited Condensed Consolidated Balance Sheets
(in $ millions)

March 31, 2026 March 31, 2025 1
ASSETS
Current assets:
Cash and cash equivalents 2,864 2,136
Short -term investments 116 112
Receivables, net 632 679
Other current assets 361 349
Total current assets 3,973 3,276
Property and equipment, net 613 586
Goodwill 5,388 5,376
Acquisition -related intangibles, net 195 293
Deferred income taxes, net 2,433 2,420
Other assets 529 417
TOTAL ASSETS 13,131 12,368

LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable, accrued, and other current liabilities 1,564 1,359
Deferred net revenue (online -enabled games) 2,233 1,700
Senior notes, current, net — 400
Total current liabilities 3,797 3,459
Senior notes, net 1,485 1,484
Income tax obligations 604 594
Other liabilities 481 445
Total liabilities 6,367 5,982

Stockholders’ equity:
Common stock 3 3
Additional paid -in capital 256 —
Retained earnings 6,607 6,470
Accumulated other comprehensive loss (102) (87)
Total stockholders’ equity 6,764 6,386
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY 13,131 12,368

1
Derived from audited consolidated financial statements.

ELECTRONIC ARTS INC. AND SUBSIDIARIES
Unaudited Condensed Consolidated Statements of Cash Flows
(in $ millions)

Three Months Ended March 31, Twelve Months Ended March 31,
2026 2025 2026 2025
OPERATING ACTIVITIES
Net income 461 254 887 1,121
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, amortization, accretion and impairment 83 79 323 356
Stock -based compensation 152 162 656 642
Change in assets and liabilities
Receivables, net 197 64 46 (115)
Other assets 4 19 (85) 40
Accounts payable, accrued, and other liabilities (78) 29 206 190
Deferred income taxes, net 17 48 (13) (41)
Deferred net revenue (online-enabled games) (256) (106) 533 (114)
Net cash provided by operating activities 580 549 2,553 2,079

INVESTING ACTIVITIES
Capital expenditures (61) (54) (230) (221)
Proceeds from maturities and sales of short -term investments 42 329 129 695
Purchase of short -term and other investments (43) (61) (158) (437)
Acquisitions, net of cash acquired (17)
Net cash provided by (used in) investing activities (62) 214 (276) 37

FINANCING ACTIVITIES
Proceeds from issuance of common stock 38 35 83 78
Payment of senior notes (400) — (400) —
Cash dividends paid (48) (48) (191) (199)
Cash paid to taxing authorities for shares withheld from employees (25) (23) (291) (234)
Common stock repurchases and excise taxes paid — (1,375) (769) (2,508)
Net cash used in financing activities (435) (1,411) (1,568) (2,863)

Effect of foreign exchange on cash and cash equivalents (3) 8 19 (17)
Change in cash and cash equivalents 80 (640) 728 (764)
Beginning cash and cash equivalents 2,784 2,776 2,136 2,900
Ending cash and cash equivalents 2,864 2,136 2,864 2,136

ELECTRONIC ARTS INC. AND SUBSIDIARIES
Unaudited Supplemental Financial Information and Business Metrics
(in $ millions, except per share data)

Q4 Q1 Q2 Q3 Q4 YOY %
FY25 FY26 FY26 FY26 FY26 Change
Net revenue
Net revenue 1,895 1,671 1,839 1,901 2,120 12%
GAAP-
based financial data
Change in deferred net revenue (online- enabled games) 2 (96) (373) (21) 1,145 (256)
Gross profit
Gross profit 1,527 1,392 1,396 1,403 1,756 15%
Gross profit (as a % of net revenue) 81% 83% 76% 74% 83%
GAAP- based financial data
Acquisition- related expenses 10 10 9 9 9
Change in deferred net revenue (online -enabled games) 2 (96) (373) (21) 1,145 (256)
Stock- based compensation 3 3 3 3 2
Operating income
Operating income 395 271 200 127 564 43%
Operating income (as a % of net revenue) 21% 16% 11 % 7% 27%
GAAP- based financial data
Acquisition- related expenses* 27 27 26 53 25
Change in deferred net revenue (online- enabled games) 2 (96) (373) (21) 1,145 (256)
Restructuring and related charges 4 — — — —
Stock- based compensation 162 152 174 178 152
Net income
Net income 254 201 137 88 461 81%
Net income (as a % of net revenue) 13% 12% 7% 5% 22%
GAAP- based financial data
Acquisition -related expenses* 27 27 26 53 25
Change in deferred net revenue (online- enabled games) 2 (96) (373) (21) 1,145 (256)
Restructuring and related charges 4 — — — —
Stock- based compensation 162 152 174 178 152
Tax rate used for management reporting 19% 19% 19% 19% 19%
Diluted earnings per share 0.98 0.79 0.54 0.35 1.81 85%
Number of shares used in computation
Basic 257 251 250 250 250
Diluted 259 254 252 253 254

2
The change in deferred net revenue (online- enabled games) in the unaudited condensed consolidated statements of cash flows does not necessarily equal the
change in deferred net revenue (online- enabled games) in the unaudited condensed consolidated statements of operations primarily due to the impact of gains/losses
on cash flow hedges.

*Includes (i) amortization and impairment of intangibles, and (ii) fees and other direct expenses related to our proposed transaction with the Consortium announced
on September 29, 2025.

ELECTRONIC ARTS INC. AND SUBSIDIARIES
Unaudited Supplemental Financial Information and Business Metrics
(in $ millions)

Q4 Q1 Q2 Q3 Q4 YOY %
FY25 FY26 FY26 FY26 FY26 Change
QUARTERLY NET REVENUE PRESENTATIONS
Net revenue by composition
Full game downloads 367 233 401 546 528 44%
Packaged goods 70 56 217 86 81 16%
Full game 437 289 618 632 609 39%
Live services and other 1,458 1,382 1,221 1,269 1,511 4%
Total net revenue 1,895 1,671 1,839 1,901 2,120 12%
Full game 23% 17% 34% 33% 29%
Live services and other 77% 83% 66% 67% 71%
Total net revenue % 100% 100% 100% 100% 100%
GAAP- based financial data
Full game downloads (27) (46) 37 451 (220)
Packaged goods (26) (29) 45 59 (49)
Full game (53) (75) 82 510 (269)
Live services and other (43) (298) (103) 635 13
Total change in deferred net revenue (online- enabled games) by composition 2 (96) (373) (21) 1,145 (256)

Net revenue by platform
Console 1,182 1,007 1,212 1,182 1,293 9%
PC & Other 426 374 352 465 555 30%
Mobile 287 290 275 254 272 (5%)
Total net revenue 1,895 1,671 1,839 1,901 2,120 12%
GAAP- based financial data
Console (86) (317) 1 747 (222)
PC & Other (11) (54) (6) 343 (87)
Mobile 1 (2) (16) 55 53
Total change in deferred net revenue (online- enabled games) by platform 2 (96) (373) (21) 1,145 (256)
2
The change in deferred net revenue (online- enabled games) in the unaudited condensed consolidated statements of cash flows does not necessarily equal the
change in deferred net revenue (online- enabled games) in the unaudited condensed consolidated statements of operations primarily due to the impact of
gains/losses on cash flow hedges.

ELECTRONIC ARTS INC. AND SUBSIDIARIES
Unaudited Supplemental Financial Information and Business Metrics
(in $ millions)
Q4 Q1 Q2 Q3 Q4 YOY %
FY25 FY26 FY26 FY26 FY26 Change
CASH FLOW DATA
Investing cash flow 214 (89) (68) (57) (62)
Investing cash flow – TTM 37 17 (5) (276) (846%)
Financing cash flow (1,411) (568) (429) (136) (435)
Financing cash flow – TTM (2,863) (2,885) (2,912) (2,544) (1,568) 45%
Operating cash flow 549 17 130 1,826 580
Operating cash flow – TTM 2,079 1,976 1,872 2,522 2,553 23%
Capital expenditures 54 72 43 54 61
Capital expenditures – TTM 221 226 219 223 230 4%
Free cash flow 3 495 (55) 87 1,772 519
Free cash flow 3 – TTM 1,858 1,750 1,653 2,299 2,323 25%
Common stock repurchases and excise taxes paid 1,375 375 394 (100%)
Cash dividends paid 48 48 48 47 48 —
DEPRECIATION
Depreciation expense 51 52 53 53 58 14%
BALANCE SHEET DATA
Cash and cash equivalents 2,136 1,518 1,148 2,784 2,864
Short -term investments 112 112 112 115 116
Cash and cash equivalents, and short -term investments 2,248 1,630 1,260 2,899 2,980 33%
Receivables, net 679 533 1,077 829 632 (7%)
STOCK -BASED COMPENSATION
Cost of revenue 3 3 3 3 2
Research and development 115 110 123 127 107
Marketing and sales 14 12 15 16 14
General and administrative 30 27 33 32 29
Total stock -based compensation 162 152 174 178 152
RESTRUCTURING AND RELATED CHARGES
Restructuring 3 — — — —
Office space reductions 1 — — — —
Total restructuring and related charges 4 — — — —

3Free cash flow is defined as Operating cash flow less Capital expenditures.

ELECTRONIC ARTS INC. AND SUBSIDIARIES
Unaudited Reconciliation of GAAP to Non -GAAP Financial Measures
(in $ millions)

The following table provides a reconciliation of non-GAAP operating income and margin to their most directly comparable GAAP financial measure for the twelve months ended March 31, 2026 plus a comparison to the actuals for the twelve months ended March 31, 2025.
Twelve Months Ended
March 31,
2026 2025 YOY % Change

Net revenue 7,531 7,463 1%

GAAP operating income 1,162 1,520 (24)%
Acquisition-related expenses* 131 107
Restructuring and related charges — 62
Stock-based compensation 656 642
Non-GAAP operating income 1,949 2,331 (16%)

GAAP operating margin 15.4% 20.4%
Non-GAAP operating margin 25.9% 31.2%
Impact from change in deferred net revenue (online- enabled games) 460 bps (100 bps)

*Includes (i) amortization and impairment of intangibles, and (ii) fees and other direct expenses related to our proposed transaction with the
Consortium announced on September 29, 2025.

ELECTRONIC ARTS INC. AND SUBSIDIARIES
Unaudited Reconciliation of GAAP to Non -GAAP Financial Measures
(in $ millions)

The following table provides a reconciliation of non-GAAP operating income and margin to their most directly
comparable GAAP financial measure for the three months ended March 31, 2026 plus a comparison to the actuals for the
three months ended March 31, 2025.
Three Months Ended
March 31
2026 2025 YOY % Change

Net revenue 2,120 1,895 12%

GAAP operating income 564 395 43%
Acquisition-related expenses* 25 27
Restructuring and related charges — 4
Stock-based compensation 152 162
Non-GAAP operating income 741 588 26%

GAAP operating margin 26.6% 20.8%
Non-GAAP operating margin 35.0% 31.0%
Impact from change in deferred net revenue (online- enabled games) (900 bps) (370 bps)

*Includes (i) amortization and impairment of intangibles, and (ii) fees and other direct expenses related to our proposed transaction with the
Consortium announced on September 29, 2025.

Non-GAAP Financial Measures
As a supplement to the Company’s financial measures presented in accordance with U.S. Generally Accepted Accounting Principle s
(“GAAP”), the Company presents certain non-GAAP measures of financial performance, including non-GAAP operating margin and free
cash flow. These non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial
performance prepared in accordance with GAAP. In addition, these non-GAAP measures have limitations in that they do not reflect all of the
items associated with the Company’s results of operations as determined in accordance with GAAP. These non-GAAP financial measures do
not reflect a comprehensive system of accounting and differ from GAAP measures with the same names and may differ from non-GAAP
financial measures with the same or similar names that are used by other companies.

The non-GAAP financial measures exclude acquisition-related expenses, stock -based compensation, restructuring and related charges, and
capital expenditures, as applicable in any given reporting period and our outlook. The Company may consider whether other significant
items that arise in the future should be excluded from our non-GAAP financial measures. Management believes that these non -GAAP
financial measures provide investors with additional useful information to better understand and evaluate the Company’s opera ting results
and future prospects because they exclude certain items that may not be indicative of the Company’s core business, operating results, or
future outlook. These non-GAAP financial measures, with further adjustments are used by management to understand ongoing financial and
business performance.

The Company uses a tax rate of 19% internally to evaluate its operating performance and to forecast, plan, and analyze future periods.
Accordingly, the Company applies the same tax rate to its management reporting financial results.

Investors are encouraged to review the related GAAP financial measures and the reconciliation of non-GAAP financial measures to their
most directly comparable GAAP financial measure.