Core Insights - Electronic Arts (EA) reported a 6.52% year-over-year increase in net revenue for Q4 FY2025, reaching $1.895 billion, surpassing analyst expectations of $1.55 billion, with a net profit of $254 million, up 39.56% [1] - The company's total net revenue for FY2025 was $7.463 billion, a slight decline of 1.31% from $7.562 billion in the previous year, with game business revenue at $2.002 billion and live services and others at $5.461 billion [1] - EA's new game "Split Fiction" sold over 1 million copies within 48 hours of its release and has surpassed 4 million copies globally [1] Financial Performance - For Q4 FY2025, EA's revenue growth was primarily driven by its gaming business, particularly the EA SPORTS series, which saw its American Football game surpass $1 billion in net bookings for the first time [1] - The latest installment of "The Sims" maintained double-digit growth in its 25th anniversary quarter, contributing to the overall revenue increase [1] Future Outlook - EA anticipates total bookings for FY2026 to be between $7.6 billion and $8 billion, with growth expected from EA SPORTS, "The Sims," and new titles from "Battlefield" and "Skate" [4] - The company projects operating cash flow of $2.2 billion to $2.4 billion and net revenue between $7.1 billion and $7.5 billion for FY2026, with Q1 estimates at $1.55 billion to $1.65 billion [4] Strategic Changes - EA plans to release a new "Battlefield" game before April 2026, with a full reveal expected this summer, which is seen as a key step in creating the next generation of entertainment [2] - The company is undergoing layoffs of 300-400 positions, including around 100 from Respawn Entertainment, and has canceled two projects, including a new "Titanfall" title, to focus resources on the next "Jedi" game and updates for "Apex Legends" [4]

Group 1 - EA has laid off approximately 300 employees, including around 100 from Respawn, the studio behind popular titles like APEX Legends and Star Wars Jedi [1][3] - Respawn has decided to abandon two early incubation projects and make adjustments to the APEX Legends and Star Wars Jedi teams, with speculation about the canceled projects [3] - The layoffs represent about one-third of Respawn's total workforce, affecting development, publishing, and QA teams for APEX Legends and Star Wars Jedi [3][4] Group 2 - EA's Q3 FY2025 financial report showed net revenue of $1.883 billion, down from $1.945 billion in the same period last year, with executives expressing dissatisfaction with APEX Legends and planning a major update [4] - EA has faced ongoing project cancellations, restructuring, and layoffs since 2023, including significant layoffs at BioWare due to the failure of Dragon Age 4 and a focus shift to Mass Effect 5 [4] - Industry reactions to the layoffs have been critical, highlighting concerns about EA's management of its studios and the impact on game development quality [6]