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Electronic Arts (Electronic Arts) Gross Profit

: $5,856 Mil (TTM As of Dec. 2023)
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Electronic Arts's gross profit for the three months ended in Dec. 2023 was $1,416 Mil. Electronic Arts's gross profit for the trailing twelve months (TTM) ended in Dec. 2023 was $5,856 Mil.

Gross Margin % is calculated as gross profit divided by its revenue. Electronic Arts's gross profit for the three months ended in Dec. 2023 was $1,416 Mil. Electronic Arts's Revenue for the three months ended in Dec. 2023 was $1,945 Mil. Therefore, Electronic Arts's Gross Margin % for the quarter that ended in Dec. 2023 was 72.80%.

Electronic Arts had a gross margin of 72.80% for the quarter that ended in Dec. 2023 => Durable competitive advantage

During the past 13 years, the highest Gross Margin % of Electronic Arts was 76.48%. The lowest was 62.32%. And the median was 73.35%.


Electronic Arts Gross Profit Historical Data

The historical data trend for Electronic Arts's Gross Profit can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Electronic Arts Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Gross Profit
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3,628.00 4,168.00 4,135.00 5,132.00 5,634.00

Electronic Arts Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Gross Profit Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1,313.00 1,426.00 1,556.00 1,458.00 1,416.00

Competitive Comparison

For the Electronic Gaming & Multimedia subindustry, Electronic Arts's Gross Profit, along with its competitors' market caps and Gross Profit data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Electronic Arts Gross Profit Distribution

For the Interactive Media industry and Communication Services sector, Electronic Arts's Gross Profit distribution charts can be found below:

* The bar in red indicates where Electronic Arts's Gross Profit falls into.



Electronic Arts Gross Profit Calculation

Gross Profit is the different between the sale prices and the cost of buying or producing the goods.

Electronic Arts's Gross Profit for the fiscal year that ended in Mar. 2023 is calculated as

Gross Profit (A: Mar. 2023 )=Revenue - Cost of Goods Sold
=7426 - 1792
=5,634

Electronic Arts's Gross Profit for the quarter that ended in Dec. 2023 is calculated as

Gross Profit (Q: Dec. 2023 )=Revenue - Cost of Goods Sold
=1945 - 529
=1,416

Gross Profit for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $5,856 Mil.

Gross Profit is the numerator in the calculation of Gross Margin.

Electronic Arts's Gross Margin % for the quarter that ended in Dec. 2023 is calculated as

Gross Margin % (Q: Dec. 2023 )=Gross Profit (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=(Revenue - Cost of Goods Sold) / Revenue
=1,416 / 1945
=72.80 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.


Electronic Arts  (NAS:EA) Gross Profit Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Electronic Arts had a gross margin of 72.80% for the quarter that ended in Dec. 2023 => Durable competitive advantage


Electronic Arts Gross Profit Related Terms

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Electronic Arts (Electronic Arts) Business Description

Traded in Other Exchanges
Address
209 Redwood Shores Parkway, Redwood City, CA, USA, 94065
EA is one of the world's largest third-party video game publishers and has transitioned from a console-based video game publisher to the one of the largest publishers on consoles, PC, and mobile. The firm owns number of large franchises, including Madden, EA Sports FC, Battlefield, Apex Legends, Mass Effect, Dragon's Age, and Need for Speed.
Executives
Jacob J. Schatz officer: General Counsel & Corp Sect'y C/O ELECTRONIC ARTS INC., 209 REDWOOD SHORES PKWY, REDWOOD CITY CA 94061
Laura Miele officer: Chief Studios Officer 209 REDWOOD SHORES PARKWAY, REDWOOD CITY CA 94065
Vijayanthimala Singh officer: Chief People Officer C/O ELECTRONIC ARTS INC., 209, REDWOOD CITY CA 94065
Andrew Wilson director, officer: Chief Executive Officer 209 REDWOOD SHORES PKWY, REDWOOD CITY CA 94065
Stuart Canfield officer: Chief Financial Officer 209 REDWOOD SHORES PARKWAY, REDWOOD CITY CA 94065
Richard A Simonson director C/O SILVER SPRING NETWORKS, INC., 230 W. TASMAN DRIVE, SAN JOSE CA 95134
Luis A Ubinas director 209 REDWOOD SHORES PARKWAY, REDWOOD CITY CA 94065-1175
Eric Charles Kelly officer: Chief Accounting Officer 209 REDWOOD SHORES PARKWAY, REDWOOD CITY CA 94065
Chris Bruzzo officer: Chief Marketing Officer 411 FIRST AVE., SOUTH, SUITE 700, SEATTLE WA 98104
Kenneth A Moss officer: Chief Technology Officer 209 REDWOOD SHORES PKWY, REDWOOD CITY CA 94061
Chris Suh officer: Chief Financial Officer C/O CARDLYTICS, INC., 675 PONCE DE LEON AVE. NE, STE 6000, ATLANTA GA 30308
Blake J Jorgensen officer: COO & CFO 209 REDWOOD SHORES PARKWAY, REDWOOD CITY CA 94065
Rachel A Gonzalez director 3150 SABRE DRIVE, SOUTHLAKE TX 76092
Kofi A Bruce director GENERAL MILLS, INC., ONE GENERAL MILLS BLVD., MINNEAPOLIS MN 55426
Jay C Hoag director 250 MIDDLEFIELD ROAD, MENLO PARK CA 94025

Electronic Arts (Electronic Arts) Headlines