Electronic Arts posts drop in profits
May 8 , 2013
Video game maker Electronic Arts (EA) posted lower profits on Tuesday due to a drop in packaged game sales.
For the first quarter of 2013, net income was down by 19 percent to $323 million compared to the same period last year.
Meanwhile, sales from its online games increased by 45 percent to $618 million, higher than the sales of packaged games.
Total revenue dropped to $1.2 billion compared to $1.3 billion last year.
In recent years, EA has struggled to compete with games on mobile devices.
Specific products such as its popular SimCity game have also faced challenged after players found the latest version overwhelmed their systems and were unable to play it.
However, the company said it expected higher earnings of $4 billion in its next financial year.