Electronic Arts Inc (EA)
Net profit margin
| Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 1,273,000 | 1,079,000 | 993,000 | 893,000 | 802,000 | 1,039,000 | 901,000 | 896,000 | 789,000 | 640,000 | 785,000 | 676,000 | 837,000 | 1,179,000 | 1,314,000 | 1,983,000 | 3,039,000 | 2,830,000 | 2,746,000 | 2,147,000 |
| Revenue (ttm) | US$ in thousands | 7,562,000 | 7,657,000 | 7,593,000 | 7,583,000 | 7,426,000 | 7,377,000 | 7,285,000 | 7,207,000 | 6,991,000 | 6,512,000 | 6,396,000 | 5,721,000 | 5,629,000 | 5,670,000 | 5,590,000 | 5,787,000 | 5,537,000 | 5,388,000 | 5,084,000 | 5,022,000 |
| Net profit margin | 16.83% | 14.09% | 13.08% | 11.78% | 10.80% | 14.08% | 12.37% | 12.43% | 11.29% | 9.83% | 12.27% | 11.82% | 14.87% | 20.79% | 23.51% | 34.27% | 54.89% | 52.52% | 54.01% | 42.75% |
March 31, 2024 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $1,273,000K ÷ $7,562,000K
= 16.83%
The net profit margin of Electronic Arts Inc has shown some fluctuations over the historical periods provided. The net profit margin represents the percentage of revenue that translates into profit after all expenses have been deducted.
In the most recent period ending on March 31, 2024, the net profit margin was 16.83%, showing an improvement compared to the previous quarter. This indicates that Electronic Arts Inc was able to convert a higher percentage of its revenue into profit, which is a positive sign for the company's financial health.
Looking back at the trend, the net profit margin has generally been on an upward trajectory since the end of 2020, where it reached a peak of 54.89% in March 2020. The significant decrease in the net profit margin throughout 2020 could be attributed to various factors, such as increased expenses or lower revenue during that period, possibly due to the impact of external events like the COVID-19 pandemic.
Overall, a higher net profit margin reflects better cost management and operational efficiency, indicating that Electronic Arts Inc is generating more profit from its sales. However, it is important to further investigate the reasons behind the fluctuations in net profit margin to understand the company's financial performance more comprehensively.
Peer comparison
Mar 31, 2024