Official EA lost $6 billion in market value, following FC 25 & Dragon Age underperformance news

[SpartaN]

On Wednesday, EA warned the market that it now expects a decline in its live service revenue for its current fiscal year, after previously forecasting growth. Primarily, the decline was attributed to an FC 25 “slowdown” during the Christmas period.

By Thursday, the publisher had lost $6 billion from its market value of $37.3 billion, following the pre-earnings news. EA FC generates around $2 billion annually, Reuters reports, with around $800 million of that made up by Ultimate Team.

“Ultimate Team has come to be viewed as a near Swiss clock of interactive media bookings growth. If it is stagnant, it puts enormous pressure on EA to fill the void,” said MoffettNathanson analysts.

EA lost $6 billion in market value, following FC 25 & Dragon Age underperformance news | VGC

Electronic Arts shares declined by more than 16%

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