Electronic Arts Inc. shares dropped -12% on Wednesday. The video game company reported earnings of 86 cents a share for its fiscal third quarter, falling short of analysts expectation of $1.94 a share (based on FactSet data). Revenue of $1.3 billion also fell below estimate of $1.8 billion.
The firm’s full-year revenue guidance of $4.9 billion was less than the expected $5.2 billion.
Electronic Arts CEO Andrew Wilson indicated that the third quarter was challenging for the company and that they did not perform to their expectations, and also warned that the current period might not be a smooth ride either.