Highlights
- EA reported $1.98B in Q1 revenue, up 19% YoY, with live services generating $1.47B.
- Digital sales made up $438M of full game revenue as EA continued layoffs and expanded genAI adoption.
- EA was delisted from Nasdaq and became a private company on Aug 4, 2026.
Electronic Arts (EA) reported strong first-quarter (Q1) results, capping its final quarter as a publicly traded company. The deal, led by a consortium that includes Saudi Arabia's Public Investment Fund (PIF), closed on Aug 4, 2026, after receiving all required regulatory approvals.
Only customary closing conditions remain.
EA reported $1.98B in net revenue for the quarter ended June 30, 2026, up 19% year-over-year (YoY), while operating income jumped 89% to $513M. The company's live service business remained its biggest growth driver.
Revenue from live services increased 7% to $1.47B, helped by player spending in Battlefield 6 and EA Sports FC. Net bookings also rose 4% to $1.39B, supported by Apex Legends, EA Sports FC, Madden NFL, and EA Sports College Football.
Digital Sales Continue to Reshape EA's Business
Full game revenue totaled $514M during the quarter, with digital purchases contributing $438M. EA stated that digital downloads represented 81% of Xbox and PlayStation unit sales in fiscal year (FY) 2026. That compares with 78% in FY 2025 and 73% in FY 2024. The company noted digital distribution and live services generally improve gross margins because they cost less than physical retail sales.
The filing also confirmed that shareholders will receive $210 in cash for each outstanding EA share when the merger closes. The consortium, backed by PIF, Silver Lake, and Affinity Partners, has secured equity financing and $20B in debt commitments to complete the acquisition.
Following the completion of the acquisition on Aug 4, 2026, EA was delisted from the Nasdaq and became a private company.
EA’s Financial Growth Comes Alongside Restructuring
The results come despite continued layoffs over the past year. EA reduced staff at Skate developer Full Circle and parts of its Battlefield division. During the same period, CEO of EA, Andrew Wilson, received $38.6M in salary, bonuses, and stock awards.
The company also continued expanding the use of generative AI (genAI) across its development workflows. As EA prepares to leave the public market, its latest results reinforce the importance of live services and digital distribution to its long-term strategy.
