- Earnings call transcript Q2 2023

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Operator

Good afternoon. My name is Julianne, and I will be your conference operator today. At this time, I'd like to welcome everyone to the Electronic Arts Second Quarter Fiscal Year 2023 Earnings Conference Call. Mr. Chris Evenden, Vice President, Investor Relations, you may begin your conference.

Chris Evenden

you. Thank Second Earnings EA's Fiscal Quarter to Call. XXXX Welcome Wilson, Chris our Suh, me today CFO; CEO; Andrew are Miele, With our our and COO. Laura release that and note SEC are earnings available Please at our ir.ea.com. our filings

have we remarks. our addition, slides to posted In accompany prepared earnings detailed

XX. XXXX the for will our post calendar, call, replay this remarks audio our to Tuesday, call, we after With financial regards model prepared earnings our our of scheduled and Lastly, call January fiscal is and QX a transcript.

our reminder, the calls Electronic differ fiscal Form our and posted differ you a statements the year performance makes the for cause our XX-Q of discussion that statements to IR update today. presentation future refer to as entire actual As today, of our disclaims of X, results and them. expectations. of discussed Arts We forward-looking company. we schedule most This future from those include recent upcoming on XXXX, risks our may and Actual could materially November events any financial results these regarding events duty of earnings from to comments materially website. a and

year, to presented call exception otherwise All of the During financial the metrics, will with unless stated. are against GAAP turn comparisons call this And I'll over in a free this prior cash period flow, the be the made in call, course now on basis. of Andrew. the same the

Andrew Wilson

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recently becoming We enter. to Sims engagement grow base to with free expect X the game

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Now Chris. I'll over to the call turn

Christopher Suh

Thanks, everyone. to and hello

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hand I'll it Andrew. back Now over to

Andrew Wilson

engagement and Thanks, immersive business. EA Chris. multi-platform strong live EA our titles across the deeply services QX, powering new experiences delivered Sports In and with portfolio

And is a more We of new future have inspire half on the the ever our providing to entertainment. play. human are lead we that world second need. year. connecting of games in and are and our our services create for live we and incredible fundamental focusing to slate this With Entertainment set than dynamic the network environment, a amazing excited titles through play of the strengths, deep talent, engaging people growing games, and

for here are Now Chris, and Laura I your questions.

Operator

Instructions]. [Operator

Our Stanley. first Matthew from Cost comes question from Morgan

Matthew Cost

two here. I have

are the in you Are observing changing, things users. environment So where, an mentioned, Andrew, obviously, are any under consumers of pressure. behavior changes you in

the on users? name the that copy quarter the a buying prioritizing pipeline, is on you that's pushed spending Team anything a Ultimate that starting a maybe perhaps your it slated that fourth to color and have to major but in as there? I noticed people behavior of Should shift of are title And any doesn't then still example, title potentially there's FIFA be the you've for yet. out? or could a For less specific quarter, add fourth secondly, there is showing tentatively that's can the we interpret it Just think

Andrew Wilson

Yes. Great questions.

First behavior. one user on

we ongoing the already went an and engagement as is think strength like as many had the and what back The is I back to drop-off seeing key across seen engagement extraordinary be Apex to want our engagement remember, the and What we The of the move future. thing good that up yet. Sims. the about slate our through believed that and to deliberate very are through really was do Apex meaningful though, of going got feel which engagement one both products. say, of around particularly some were the dramatically in might in like the be to all really than engagement we're normal. of haven't to titles going half Europe we be back We through year. We've the extraordinary the we narrative commentary we economic and hard to that very we this to launch U.S. feel seems and COVID business, reinforce with to strong us And of it's are And the coming extraordinary like to see across kind slate. a our see that more good far times We've dealing in what FIFA of about extraordinary particularly challenging mostly ignore And certainly, around Madden, meaningful half. that with that of Sims, our and world changes, post-COVID FIFA the But so continued

now, As behavior. haven't right stands it shifts in meaningful seen we

we're We expect we and incredible for is really immune, deliberate it to resilient really far and our I building is us. also thoughtful, want if we're but think bad, I move what we've engagement unbelievably demonstrated driving that because don't we think which and focused we that will is environment so community, with well why but grow very be through this gets games focused deep on anybody really, as working

On into our the that the has title, anything X past the X nature point marketing than read the you around second of other shouldn't years. industry in over meaningfully changed or

move launched about we shift, we in when around Legends, a big targeted And we're we now We've was of course, from more it. shift, remember see the targeted before tell continue the about to to and might didn't the a community play get television to timing You recent moving until digital Apex it the decade anybody moved more in into hours as digital. digital. XX

marketing with and through community is come time appropriate our what to communicating our most are the what begin franchise, teams together And coming. titles each development meaningfully so teams think around for and

we feel out. it really good slate. We and feel our just communicating teams title. now as launching through appropriate Actually around so about title for it really our that timing right really And But about that are good. marketing, particular the working still turns really, good --

Operator

from comes Bank. Benjamin question Soff Deutsche next from Our

Benjamin Soff

question. Thanks the for

I bit could referenced you games, partnership. the was might more your Marvel the the least I guys with stuff for for release at exciting believe. that talk long-term maybe mean press And a X pretty business? growth little So wondering what if about

do to whether games? to additional as of extend looking evaluate they that you or be partner partnership some think are things your this what for not So the might

Laura Miele

about question. create, consider potential we growth Benjamin. certainly in we think Thanks, our world, our the games portfolio, that Great characters. we When the the

including of look of to the original our bring of think We diversity about community Skate, Battlefield, expansion real-world IP, Apex, Sims, in. at Speed. our also that portfolio can When sports player the Need the and for breadth you our we players from

licensed have IP. also We

you the about course, of Star and now Lord think Wars, of mentioned. Marvel, You Rings as

our and So net business, of to an Star players IP, our incredibly when we we our in. And licensed looked to example, as have bring Wars on an we diversifying those portfolio. XX% wider and of realized we that players and games consider expanding, community at brought have millions component our over of seen casting play players what in into is important this gone other new

welcome we going So engagement confident Marvel we and community we're content overall we're as incredibly IP to as consider just our for we're grow. to into thrilled adding licensed to fans. that our creative our significant a pretty partners build model the meaningful And teams,

of types we a these difference our it Marvel. transactional of approached don't the creative to to partnerships be expect really we've great We from and partner away seen generally in past, together. success no want contract. future creative co-create partnership and have We And the kind a embrace for with

Operator

from comes question Bank of next Our Dessouky Omar America. from

Omar Dessouky

ask to follow-up. term? your going play, your a like I of And they're to how social about X and long watch then and create, business affect objectives I'd have

first follow-up. So to game the in growth the your video question in are you franchises or build core they need your you pace by order features these with to as industry? the initiatives growth help years could of I what undertake keep And grow? franchises, in core factor video then game X is, And out, sort have exceed industry these a out the around

Andrew Wilson

Yes. Great question.

play, we about and of X as watch the think vectors create, key for us, So opportunity connect.

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us is the and plays they Gen the thing that of populations, Z first play. is discover we we are expand from new at in look kind we Gen what Alpha As that expecting onboarding

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aspects to all and an of years, at modalities we games. of And forward, far entertainment many offer to expanding what a as created XX in and are we even The play of Apex beyond we and look again these happens in as about others more sharing What as really if part part we you look the we think half like in come you like important we've in ability have existing what a connection big Snap you're time pitch? than and Sims, creating engages around The YouTube every in from audiences. in move world are of Apex of more what beyond step an home? do Battlefield expanded might as social as as or amongst to as think and your third the back we our it and looking games the when in The asking step, in them as FIFA, into community what and start only more engagement the else's a now been and the these not our this like game. at highlights worlds happens and you and now attracts a what far second option, TikTok have create existing things modality happens look entertainment, course, we and new that you Madden, when the these to and go in when And What now I continue around seen in move become generations or on and FC create things a put within for franchise. things even world ourselves we drive playing X to and franchises we as is and mechanic and like in look player-created as players -- home of someone FIFA, very leave important see content. such And see the Sims others, don't doing a drives traditional go is Sims is that so first you we play? the And new moment people particularly Also, the as past play of these step see over at it deeper map we're

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Omar Dessouky

answer. wonderful A Okay.

is, you're So of forefront the game like this rather the wrong. if second in at correct My the stakes XXXX, said you've day. that video me never on second question My budget it past, being R&D spend you see the like of innovation really in new sounds table light than the about future. that XX% your may industry just -- of Things IP. of for I'm

based that $XXX $XXX would be to million 'XX, around million. So on fiscal

still that on part should is all, franchises? that second the as create play, existing you build achieve And all, we think initiatives about of and necessary case? spend to sets the top of incremental out watch create, R&D to of out even First within tool the social, be kind or and of tool existing that? kind of those Or XX% additional will sets expenses budgets of the

Andrew Wilson

Great Yes. question.

and talked going development time on it's XX%, and on the number. our first pipelines. and based various It a in thing XX% acknowledge is, about to changes over in The past. not static what's production One, incubation I've

is these going Madden, Apex, global online for games. really Sims, our the that X to is As IP: we communities about always investment FC, Skate be us, The And coming around building down key gaming investing, for incredible primary out Battlefield, falls biggest categories: the pipe. building us think in

category those investment very stable of And for us. of growth. for are so into play goes represent XX%, very in and that a ecosystems that opportunities proven, that's And lot extraordinary create modalities and new and X you around XX%

goes worlds building that IP these form those the entertainment. will that both creating at things, chunk of really Marvel choose future into will future of our that The consumers XX% as our and in partners we we stories partners in think and interactive a Wars tell characters XX%, about first with and entertainment. co-create across into of storytelling that Disney second around storytelling amazing And things of the is as area do of And our these as we most Star form these category. fall their IP owned the and

got in that of our X.X day deeply another to a our and outside games, things XX they then hours spend a day doing minutes games The of smaller are probably opportunities third long-term but play. games, upside is about they value deriving connected the that And the our what we represents might but of much think opportunity billion. category, one one be, billion of do how of million, go get consumption our spend disrupt X about XXX network which hope category, X biggest is to such we that I there? How power is we're do And beyond from the to a people really we going the the sport opportunity interactive think We've sport. our bounds to in network experience. nutritional do we how they from game an and viewpoint.

would represent our over does with to fan, relatively that's investment to it to If significant today, but players things while and you do small a years. expansion with fandom. of what with you the what do to that X next global us the we're of around X able fans of our other upside be the sports network might a for course pretty And the you star a able your fuel our of world one games, sports are in deep partners

to the investment And of investment acknowledge entertainment and to focused what work very do that will at broadly, that in As we is existing and least areas. planned. into our company shouldn't right we very our we reshape you have the how very as deliberate, and And to we incremental part work have really about ready on shift deep investment it we do have business, And investment. and This imagine we always about the focusing very disciplined as because put that or think we're to is to in be a not that we invest. this we more drive be is organization exactly move everything future.

area spend, incremental where new but global you that we the interactive of where power experience giant are of behind the opportunities invest of move we really to of feel expect to of will beyond traditional in there the those the and investment things. some continue area in expect area our storytelling, strong we us shouldn't success growth, like you and very So a we in likelihood hiring company bounds big communities, gaming our of network believe upside online the around should have and

Operator

from question Eric Sachs. from Goldman Sheridan comes Our next

Eric Sheridan

towards base of in the behind long challenges about thinking growing to as of to obviously investing has lot been lot Mobile mix allocated team term, headwinds game a long face been obviously, and in months the a But of games XX well. some we've over of maybe been especially AAA terms mobile this and of just the environment? on the medium there's get gotten changes. to last user you monetizing to privacy mobile? continues of on right, opportunity to continuing grow mobile percentage How there's mobile as how sort front, in have XX everyone questions a to hope I Apple's the capital Maybe mobile of from M&A mobile. a by created that are navigate that and the on investors tailed the in

Laura Miele

one remaining with large and Eric. business, growth mobile pretty question. for path franchises. games represents platforms in Thanks, We significant our see largest us, particularly Great the of a the it

And how of as big Apex. to as our we looking are in FIFA, a couple think multiplier at on this. there's So an such franchises about parts mobile expansion have

our North an business, our FIFA example, exist FIFA As we America. Europe players at outside and mobile of mobile XX% when look of

global impact our So that's reach for and FIFA game. mobile significant

to a for multiplier think -- continue when ecosystems the online these talked for players. in Andrew strategy large well-known and will about has contribute our these has what's meaningful is be about mobile world for having gaming be world, And most post-IDFA strong big we vision and and communities business these discussed that communities that reach. we So a or post-ATT brands believe will to and

our confident are beyond an experiencing we so impact And are world. some that challenges to of some the a in have in post-ATT position

strength see Design Heroes. Cabot business, Glu we acquisitions Tap look in Sports that stand-alone lifestyle strong sort of our as games at such acquisition, and those to have our that is we we sports. going we Wars when to As strength we Galaxy, of business. think our Star continue have Galaxy And our about to some Glu, such are believe as in big business Home, also be properties we clearly Sims fashion, the contributors of Then

that And into those growth contribute to will strategic continue path as the believe head so to we future. we our

with reach market, and it to big headwinds as have yes, communities that we franchises. we mobile big of a global will large our mobile provide some mobile player our help there continue platform games the in with So stand-alone been will our the believe community, us for And our believe and continue big to with brands.

Operator

Lu next from Mario Barclays. from comes Our question

Mario Lu

FIFA. is one first on The

add content? from if the on wondering Anything could you as helpful. that the double you such the can would Is it Is features upcoming XX% Just quick the help year-on-year? main today attributed Cup new unit World to factors be growth it cross-play?

Andrew Wilson

And as this our other think there to that I continues to around to the the game by It's on one that in fans much world might front. sport There fuel me is is there it travel a and and football. the content relationship than live continues any access be pretty more sport would world, of some the of This in real world's the the sport around of engagement grow the But we greatest technology around real planet. symbiotic virtue the certainly, with continues the a planet, on argue you advancements growth itself. on are Yes, game. world football of to with that grow. first business

around we're context our and the world, teams incredibly innovation think at working FIFA the our biggest and modes, and closely how then in our the that do they leagues quality, fan love in this is really understand our doing we're content game yet interactive what with about all of you high experience want delivering to to key creativity football it base of teams and and in through most. the the and we're competitions they As and across

of that as the year-over-year, to embody sport team of growing of overall to global core around to and with forward sport what we It continued as -- dedicated fans a as experience grow out. this in year what expectation of the football going years, innovation the with last expansion world. multiplier we're creativity to it has we community. for is do is a to this is be lockstep in, so working around think the combined our and the more And the immersion context very of as And look team well FC, this through in the the year sport growth the do and has that double able that really nearly XX to over the of of authenticity even can continued both itself

Mario Lu

second one Mobile. mobile, Great. specifically Apex on And on a just then

Just it's brought are Battlefield curious franchises ultimately mobile progressing there that will early other to applied that could your learnings expectations? as how And be to well? internal any be like versus

Laura Miele

question. Thanks the for

overall mobile to expansion seeing some for is America. Middle That As and and that we had I the and brand. were contribute player the how brands. continues our Apex what expecting. Apex Southeast certainly And mentioned the in the biggest for Asia, hoped earlier, mobile East, of geographic of response to exactly overall case Mobile Latin franchises growth in with is we We're

the weeks launch. And the the proud into delivered well. we're a quite rating with And strong, strong the Now we it our game. are is XX experience, Store we've quite connected our of players quality have of and on while core App

And we as years. Mobile continue of in know and natural our cycle market. We improvement. us coming and much overall more a is are players, growth and brand to process casual the very help the definitely area for believe focused that for of bring an franchise and for area to on part these focus drive Apex retention we And this is we now and will improving games an of Apex us the mobile our the that

Operator

Andrew Our Jefferies. next question from comes Uerkwitz from

Andrew Uerkwitz

X to maybe bit process I a marketplace ask questions. here. whatnot, design about how kind user-generated the The are some that it in solidly can just big guess of a Andrew, incorporate goes and Laura as maybe game little kind a that kind me versus seems fabric to and in sort of all want social Could those initiatives going of a maybe who around Skate social skate and and talk chime kind X just you like game and categories. of Let Sims you what or from couple want overlays of of think expectations gamers to maybe When a about of it you try out they might to content those housebuilding play to be how figure game? play types of maybe games talk

Andrew Wilson

bring it's who want way in it's and across total live to tell sum I mean what other share to to social to outside fuel watch on ad -- I almost to things says, it a longer X. in. around the with strongest it's core motivations able are atomic want "Hey, do. I thing X we things says, today, really do we through to look, And thing. the question disappear think really, our it's immerse We environment they who for to has a want breadth people, were they from myself to and context of we friends. and the might amongst fulfill. of kind who want with this it group might summer of with a And group I a or build them. think We able crude it world, to themselves connections thing, and in it's complicated world about for I I but the X immerse another an of And group might be the more the and about kid capture want playground portfolio. trend is I just for really a group capture this call doing their of or to our in we have able myself in doing of network. got players have of I'm polished, probably escape. want you X be would be we're other "Hey, play the but like, do the in player people. outside salt really want do want on groups when think -- group or X And I There around the a but to a to and group this be cohort an I'm who very day-to-day like motivation They new -- to able is have And that quickly hoc of kind I the moves I cool no, want world, grouping you've everything it I media want experience this really it with about trying share the to of to world important game, with of be to this not kind doing, There's unit. cool and we than I that's want them another immediately got are really platforms. thinking I is to Yes. go kind me. simply And that very to see you in time experience. see that These just do X that I I be design a I but with and motivations. what we about the And by

see that in the been highly over polished we'll the has that time. and will people And we experience so Sims. The curate experience we're FC our then certainly and to context And a context our see continue fourth Skate, to and group out create want And of in and rise certainly start of Battlefield our to content that their share motivation. kind fueling of a of be And have and in and we wants it format. experience that really in of seeing we're up Madden part things who

why best we then seamlessly when And start seeing And friction, first, their friends. are is they're motivations that's that we think in and things, to rapidly. people what full able that to deep for across That's designing way strong, network building to of games why are and a to start our the a so is and fulfill. trying and we our engagement so to really, we And look and those that's more these and with build possible. build continuing be without cohorts, time are growing as them player with what connections tools about our that motivations in we're fulfill fulfill we motivations platform the this spending with spectrum why is enduring using

Andrew Uerkwitz

to That's financial the kind I player -- some player easier -- the think I stuff think where is gains more year? the some at have need success can for less the the of that predictability the it. you IP end do or less feel guess where of that a and day, ROI types the maybe of some then math motivation every on as you when about of the somewhat the stuff of games single of there's single of of those the of a maybe -- the whether And it's of helpful. predictable there out building. Got of and where my licensed the it's about single you're just -- it's of Is kind some the

Andrew Wilson

the watch we world, to listened we in radio it the over experienced entertainment then to had the it, then on and go then development story Again, then began, to character time, of watch creation we television. it on in has since theater, about the different we've we we movie, it would the been the built time forms it of telling read and

we it these opportunities. we foremost, how And about and we as that think storytelling first games. is through great ourselves Now experienced entertain

the we think of are always these very character that crappy story entertainment, deep kind And a social experiences of creation this, there are told. about because, of thinking being development about and being we think we're the sports of is do. and the the just central publicly-traded how of more and as broadly. not worlds it's the blood but as things company, world and entertainment return of But is about life as we predictability telling breadth so of enjoy full about the financial And much stories about and attainment, we characters again, again, consumption crappy

truly our and we the of we to and work as don't our in way, is storytelling. compelling we opportunity on extraordinary represents think so work an it believe things a do back humanity And nature with IP it we turn with partners going own business to

to of certainly we be interactive. the As going look future, to the nature is storytelling almost

Operator

Partners. question Our from Handler MKM comes next from Eric

Eric Handler

to time talk now, you secondly, a to to market a just could mobile little the your about you if conditions. about The is Wonder to bit free-to-play decision bit challenging in Rings in And too soft launch launch it good is channels seeing maybe this on gain model? mobile Right find post-IDFA the a ROI more new Sims there? your Lord it given talk game to mass give you're decision of take a the can then What current level? market world,

Laura Miele

and so the games we being feedback Heroes. community about development. player how would normal game and of a launch the our Lord and to part process very and say Wars market Galaxy mobile one soft I it's And the Star the ago, of of by created to game developed Eric, launch inform Rings a thinking successful it's allow in soft our that of out our actually go to mobile few put most same and team months we're

time. and our a confident and world. flesh we right will Lord that success is continue game user for experiences. be our market good and to of to to need mentioned, partner, seeing post soon a And going we aren't to we're great out needs franchise the more like now to of pretty simplify game. help the big our loops as the more us unusual. brand ATT a having natural -- you cycle in consider time they're get in to We And this normal with anything progression rings creative So our seeing this part And game unnecessarily time a first the

soft get to our Lord launch play the the market a the big Rings have will time big brand game with for is when game right and healthy so metrics a our and partnership in So can the right, online the and of players. come we for community we and we game that

Andrew Wilson

of nearly who want the XX and a are to And old wants launch we want who anyone there of may that X X. even -- The Sims, on years think now. yes a people game of really to play open people Sims going who many have Sims XX community again, The are we game. we about have the opportunity been of When -- playing, bunch The now. millions to I born there's play it's mean to who to up bringing nearly old tens And experience not years it's when people while we recognize

look to the of we months, content, the XX base game. about XX% not As extra from all revenue last was

we that seen making more more looking forward is team really that happen evolution for playing supportive overall. felt on for what offers and this was And so what really Sims been as to we've is ecosystem many as people about experience their the future, has is very The I of what we this, thankful the this bringing into supporting this balance community very hope community. millions right we welcoming And We and the think commend to the of think the the really about The time. Sims in community. enjoy and And

Operator

from Credit next Our question from Stephen Ju Suisse. comes

Stephen Ju

like old game worried as of I Sims X think we exists Sims is about you little sequel up X a lower work lack because, about for years. the say, may I over this with and a guess, of And I'd released there's before, XX in content the that Battlefield feel Sims something we now, you've And is for it's the empty. lot I in thinking -- be that a released, And the that bit the that bring the again. should how the this like years and this when is past. but think And of for I under what Okay. this, topic word, think a explored I thought looks development, in body we've better

can Does spend this about So to and sequels for that need as we things follow-ups mean we do that? development what How think more that generally? additional about think and we time content? should

Andrew Wilson

not question good say each and a probably Sims. appreciate title broader innovation community you commit is that, that I value hundreds in And enough have question, those and that the and it's what this is that enough doing that than really Sims we titles some Yes, bring. to fulfill that very invest example, expectations all in the of we on amount we the have creativity And would delivers new been but successful just extraordinary our a many of of people particularly those titles. year, do and ensure one-size-fits-all think to franchises every value of things, using our to we Certainly, The think they deliver question. content iterative our enough to those about for our an community, for answer objective a as there's build I would as I and each to we

existing have potential with and modality really to an but We going a part using out example, Skate experience there's modality in out connection, also time going things forward. be other things in BioWare stories characters giving Without all in going the top. continue the new on be an these and there's things in get as you're about our that these a The in that experience of to going as a innovative is tell in we're a and certainly, is have in to them and to you're some of create do way. Sims skate creative to able there these new whole that's creation new around and what And Skate and franchise, been able while maybe able Skate that social like meaningful of and titles games see past. we've that a using to to an that like be going do layering But opportunity, example come to cases, others build to worlds the game

question, to with at and every own think And that is so I do to franchise ourselves, respect right in what your looking stead, to we're the franchise. answer thing we're asking this its

really changing time team Some franchises the iterative people worlds of story Skate, like BioWare a for characters our for right and And build getting is new creativity, certainly, play to and the to amount some all deliver these other innovation these diverse to franchise as it's we for Sims, like and and is franchise we lines. in into of the for think community and giving growing layer do about our franchise out hold goodness just how about about the world. games and modalities the future how of and around of you evolving existing extensions a on of

Operator

This question Creutz comes from Cowen from Company. Doug and

Douglas Creutz

wondering if little could was Hard a you Wild about I bit. talk

wrong, think, I think, de at this a they normally, titles. when tend point. you to titles, is to But have coming me lower-priced be partner I'm correct guys $XX -- price in market I if

AAA opportunity this the down set potential in for of think And we way it is of we the that you So title think game has a a think line? -- franchise the general? here about should would sort

Andrew Wilson

Yes.

I there. to So would first differentiate thing say just

that very This the we and have "All first wasn't model did was didn't who title. means what teams to support continue overall. time I community years and were on opportunity some great really really say, games. Originals, the had growth business of for because initiative to have market IP. in community working to let's get building some developed in right, lower-priced the building EA cool didn't the and cool at these developers least they at a was India around into an think which we big the that for into And we go we cool seeing ago way really games have them are is ability India titles. They really industry handpick were kind their the was What these industry some what were the

for development fund let's them. -- help Let's

second game on that Let's them even Most time so around. they and those together let's titles. smaller, give can a an profits the distribution have build get them been back lower-priced bigger and come end the of

we relatively see Hunter It ripe innovation It community anymore the because much team genre. We exploded. things have saw price with global that at full We for the don't mean it doing pretty co-developing, is is remember. time AAA just point. bill quality and new Wild think a one. it However, we the in us Heart by think fits internally. is small of expectations for as we history mean every deliver that mesmerized I tell a genre. the and all is these as out can wowed started long the what we creativity IP, really a there's a is a it Monster of and as and and back of of would do for company were we The they against product, and and as is genre I felt what the much co-publishing there the of that the -- not AAA the we expansion rich long like doing. what it full-priced way all communities believe in history you, I And XX asking for can I were and distributing the years, bar idea

And really, been so has -- really the strong. response and far so

And so to tell I get on But my want don't over it. would I I out skis one. this saw you,

The there's the big the a incredible. but seen opportunity for don't has quite it really, can community this for I yet, cool community team large. at it, it's it's think be to for really I We know a think development think be. they and path incredible. How us, for

Operator

Our Baird. come last Colin will Sebastian from question from

Colin Sebastian

how with more to And big challenges of monetization this given the quarter? this you then I such around core approach Andrew, from the on growth Apex, the on to Cup given KPIs you wanted just the with just the years. engagement first, providing do past trends cup that couple some year, how for of guess World if there? have you talk little franchise. launch this a live time And follow-up last differs questions. prior expect new a trend over I part color the about a wouldn't Are on I of services, and trends content has satisfied of few the been portfolio to the mind those

Andrew Wilson

Yes.

those Chris of Cup, then the things and I'll grab part me World around to let Apex. speak trends Let first engagement and kind of around types

challenge Cup World I that might that troubles in franchise might last the had idea one and back we brought of with World engagement front. of about It Again, I year. highest with the content. the XX First, time. brought Cup base But be players our million opportunities we I into think back was

was externally drive the it And and franchise and Cup. since strong we been the each I some that every use we years at and remember would course, really of to on talked happened that was We people to franchise might beyond a we year believed about think there bring it World that projected may What and higher expectations the back in into the you have it revenue that out opportunity. growth time. has engagement predicted Cup. World

it this It was and great time content juncture -- embed we And is on the us. is done details, overall feel over was think going our that we that to is more time Cup us. its What team while game. into What into do more it World the opportunity an more and will deeply deeper broad bring it the for the that good a absolute And for this into bullish into take Cup. build cool. franchise, It we the integrated it particularly is even grow very time. experience has engagement the expectation great will possible really the without mode. deeply we this would was we long-term as at adjunct what add-on to people the kind that point of community FC for of back product, is drive It it World content. say I can was really, what Last to So product. the of and launch to next also greatest year franchise prospects

Christopher Suh

And Great. about a Colin, in, I'll talk jump our little engagement. bit and

-- pleased a talked we're engagement is player we're position very As We FIFA. time in state another seeing you about call, But period the of about that Apex. lot our short into across with breadth we've business. with business. the seeing We've in a a trends very as healthy one of engagement business, know, we're Apex of where grown talked this enviable on this substantial of

great very about, of IPs the seeing one As Andrew it's stable entertainment. and engagement. talked We're

We It new to releases and We the as invest behind important about as into feed for be innovation continue great us, future. game. franchise now to continue franchise. well to continues into grow of feel it the and growth we'll the upcoming an

Andrew Wilson

you the for was say with being same today. today, us to going But I thing. all to Thank

Operator

And This conference us. we you does that's all call. for the questions. time for conclude Thank have joining today's

may disconnect. now You

Electronic Arts (EA) 1 Nov 222023 Q2 Earnings call transcript