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EA forecasts current-quarter revenue below estimates

May 9 Video-game publisher Electronic Arts Inc forecast current-quarter revenue below analysts' estimates on Tuesday, and announced a new $1.2 billion buyback program.

The company forecast first quarter adjusted revenue of $750 million, slightly below analysts' average estimate of $758.7 million, according to Thomson Reuters I/B/E/S.

EA's revenue rose 16.7 percent to $1.53 billion in the fourth quarter ended March 31.

Sales from EA's digital business surged 30.6 percent to $934 million, as players increasingly buy games online rather than physical copies at retail stores.

On an adjusted basis, revenue was $1.09 billion, in line with analysts' average estimate, according to Thomson Reuters I/B/E/S.

Videogame companies are required to defer some revenue from certain online-enabled games following a tweak to the U.S. accounting rules.

EA's profit fell to $566 million, or $1.81 per share, from $899 million, or $2.79 per share, a year earlier. (Reporting by Anya George Tharakan in Bengaluru; Editing by Sriraj Kalluvila)

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