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EA reveals $381 million loss for Q2

Publisher remains upbeat due to strong deferred payments; Full year outlook trimmed

Electronic Arts has reported a net loss of $381 million for the three months ending in September, due in part to a weakened packaged goods business.

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Total sales were $711 million for the period, while its overall loss is about $40 million worse than last year. Compared to 2011, packaged goods revenue fell by $85 million, while digital sales increased by $90 million.

The nature of an evolving digital business has posed some presentation difficulties for Electronic Arts; the company would have posted earnings of about $49 million had it not needed to dismiss delayed payments that it is set to receive.

Yet the clear and repeated theme from EA's financial calls is how the group is trailblazing in digital and mobile games - its digital net revenue hit a record $1.4 billion during the past twelve months

Looking ahead, EA revised down its earnings to the tune of $50 million- now expecting revenue somewhere between $4.05 billion and $4.2 billion. This is thought to be due to what it deemed a disappointing response to its latest shooter, Medal of Honor Warfighter.

The company has also cancelled its latest NBA game and says it won't enter that highly competitive space until it has a strong enough product.

For the holiday season, EA's slate is relatively light, with Need For Speed: Most Wanted being the most high profile title.

Its Q4 period could mark a positive end to the financial year, with the likes of Dead Space 3, Crysis 3 and Army of Two: Devil's Cartel lined up for release.

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