EA's Net Up on Strong Game Sales

Updated from 04:29 PM EDT

SAN FRANCISCO -- Video-games publisher Electronic Arts(ERTS - Cramer's Take - Stockpickr) blew past analysts' estimates for the fourth quarter but shares fell after the company said it expects profits in the first half of the current fiscal will be lower than Street expectations.

Electronic Arts reported a net loss of $94 million, or 30 cents a share, in the quarter vs. a loss of $25 million, or 8 cents a share, the same quarter a year ago due to acquisition related charges.

Excluding charges, EA reported net income of $30 million, or 9 cents a share, compared with $19 million, or 6 cents a share, a year ago.

Net revenue for the quarter rose 50% to $919 million from $613 million a year ago.

Analysts polled by Thomson Reuters had been expecting break-even EPS on revenue of $834.82 million.

Shares of EA were down $1.77, or 3.2%, to $52.80 after initial gains of about 2.5% in extended trading.

EA also said it will stop offering quarterly guidance in a bid to focus investors on the company's long-term commitments.

"Our business is seasonal and hit driven," said Eric Brown, chief financial officer of Electronic Arts. "If we delay a title from one quarter to next it can have no impact on annual guidance but it does affect our quarterly numbers."

Sales in the fourth quarter were driven by the launches of Army Of Two, Burnout Paradise and ongoing sales of Rock Band, said EA.