EA Narrows Loss, Increases Sales In Fiscal Q2

EA posted a net loss of $32.8 million (24 cents per share), compared to a loss of $38.9 million (30 cents per share) a year ago. Sales for the quarter hit $240.2 million, up from $219.9 million a year ago. These results were in line with what analysts had expected. More information was disclosed about the future company's online subsidiary, EA.com. Earlier this week EA announced that it will lay off 200-250 staff from the unit -- approximately a third of EA.com's staff. EA executives said the cuts had to be made in order for the company to make that unit profitable by fiscal 2003. During the quarter, EA released 13 new products on six different hardware platforms. The company said its top selling releases for the quarter were Madden NFL 2002, NCAA Football 2002 and NHL 2002 on the PlayStation 2; Madden NFL 2002 and NHL 2002 on the PC; Madden NFL 2002 on the PlayStation and the Nintendo 64; and The World is Not Enough on the Game Boy Color. Other top selling titles for the quarter included NBA Street on the PlayStation 2 and The Sims, The Sims House Party and The Sims Livin' Large on the PC. EA executives downplayed the future of the company's ambitious game Majestic, calling the game a disappointment for the company.