Pre-tax losses at the Irish arm of gaming giant, Electronic Arts last year reduced by 34.5% to €609,000 as revenues dipped marginally.
Electronic Arts Ireland Ltd operates its Irish base in Galway and provides worldwide customer support and data centre services and new accounts show that revenues decreased from €35.5m to €35.22m in the 12 months to the end of March 29th 2025.
The pre-tax loss of €609,000 this year followed pre-tax losses of €931,000 in fiscal 2024.
Last month, the owners of the global business of EA agreed to sell the business to a group of private investors in a deal that values the company at about $55bn (€47bn), marking the largest leveraged buyout on record.
The consortium, which includes Silver Lake Management, Saudi Arabia's Public Investment Fund and Jared Kushner’s Affinity Partners, agreed to pay $210 per share in cash for the California-based company.
Headquartered in Redwood City, California, Electronic Arts revenues are boosted by sales of the likes of games such as Battlefield, Apex Legends, The Sims and Plants vs. Zombies.
The loss at the Irish unit last year takes account of non-cash depreciation costs of €6.49m while Research & Development (R&D) costs reduced from €7.57m to €7.22m.
The directors state that "turnover has decreased during the period. Turnover is driven by a marked-up recharge of services provided to other group companies".
Numbers employed at the Irish arm last year declined from 297 to 271 as staff costs increased from €22.83m to €24.35m.
The workforce was made up of 149 in sales and customer support; 91 in R&D, 21 in IT and 10 in administration.
Staff costs included €2.47m in share based payments. Pay to directors increased from €283,000 to €386,000 last year made up of €265,000 in emoluments, €108,000 in gain on the exercise in share options and €13,000 in pension contributions.
The company recorded an operating loss of €411,000 and net interest payments of €198,000 increased losses to a pre-tax loss of €609,000.
The company made a post tax loss of €693,000 after recording a €84,000 corporation tax charge.
The company's revenues were made up of €23.3m in Europe and €11.9m in the US.
At the end of March this year, the company’s shareholder funds totalled €13.95m that included accumulated profits of €9.03m.
In a note attached to the accounts on the company’s going concern status, it states that the directors have considered the company’s cash flow requirements for the foreseeable future and believe that the company will be able to continue as a going concern for the foreseeable future, based on the remuneration it receives for its services and its current cash reserves.
Reporting by Gordon Deegan
