EA incurs $322 million loss in Q3, 22% of employees in 'low cost locations'
EA suffered a net loss of $322 million for its fiscal third quarter ending December 31, 2010, a fourfold increase from the same period last year. The company generated revenues of a mere $1.05 billion during Q3, a decrease of nearly $200 million from the holidays last year. Despite significant increases in digital revenue and "record breaking" iOS sales, there wasn't enough to offset the reduction in packaged goods (disc-based games) sales, titles with "significant" development costs and the general cost of goods sold for EA's business.
The company also noted that it ended the quarter with 7,742 employees, down from 8,537 a year ago and the 7,820 workers it employed during Q2 before committing its "seasonal roll-offs." EA CFO Eric Brown mentioned that 22 percent of the publisher's employees are now in "low cost locations." We've followed up with EA for its definition of "low cost locations."
