Electronic Arts announced yesterday that Battlefield V will be releasing later than the initial release date. Due to the delay announcement, Electronic Arts Inc. has also faced a huge cut in their stocks.
The suspension of Battlefield V October 19 release date has cost the video game company quite a fortune. EA has seen a straight drop of 10 percent in the trading of net bookings in the U.S alone.
Before EA decided to push the release date of Battlefield V the full-year guidance for their net booking was at $5.55 billion. However, upon the completion of the 2019 fiscal year in March the net bookings of Electronic Arts stand at $5.20 billion.
The Chief Financial Officer, Blake Jorgensen at EA established in an official statement regarding the stock issues saying:
We’re updating our fiscal year guidance to reflect the updated launch date for Battlefield V, the ongoing impact of foreign exchange rate changes, and our current outlook for our mobile business
The video game company is certainly going through a tough but in the grand scheme of things, this is a minor set back. FIFA Ultimate teams racks in hundreds of millions of dollars annually and acts as a steady stream of revenue for the software giant.
But things are difficult for the company right now, they even faced a Wall Street stock shortage when their earnings from July 26 did not seem to match up.
Meanwhile, another misfortune struck the company when the tournament qualifiers of their video game, Madden NFL turned into the tragic Jacksonville shooting.
More challenges are expected in the coming days for EA as their Cheif Design Officer, Patrick Soderlund, is not going to be at their company when Battlefield V comes out. Patrick announced his departure from Electronic Arts earlier this month
In addition to that, the entry of Electronic Arts to the mobile gaming market is also confronted by competitors who are hugely trending such as Epic Games.
Defeating the Fortnite developers is going to be one hard task with the ongoing stock downfall. To counter the popularity of Fortnite, EA itself plans to launch a free battle royale mode with Battlefield 5 in order to gain a large user-base.
Taking all these threats into account, all we have to see is whether Electronic Arts would risk it all to crawl out of this stocks mess. A reason behind the moving the release date by four weeks for Battlefield 5 is also being reported as a safety measure from not overlapping with the launch of the highly anticipated Black Ops 4.