Electronic Arts’ Post-Lockdown Slump Not as Severe as Feared

Though sales are expected to decrease to $1.25 billion in the fiscal first quarter, excluding some items, that’s above the $1.14 billion analysts projected. The forecast for profit was short of estimates, but the company’s full-year guidance was slightly ahead of what Wall Street predicted.

The outlook was upbeat enough to reassure investors. After the stock initially slid in late trading, it recovered to a gain of as much as 3%.

Electronic Arts — and the video-game industry overall — is hoping for a soft landing after a Covid-fueled sales surge last year. The company’s results come a day after Roblox Corp. said its gaming platform had stayed more robust than expected in April, sending its shares soaring on Tuesday.