The Deal's First Test#

Revenue Collapse and the Cost of Silence#

Electronic Arts delivered its inaugural earnings report since announcing a landmark $55 billion take-private transaction with Saudi Arabia's Public Investment Fund, and the results offer a sobering reality check for investors who wagered on the transformative potential of patient capital and liberation from quarterly earnings discipline. The Redwood City gaming publisher reported second-quarter fiscal 2026 net bookings of $1.818 billion, down thirteen percent year-over-year, alongside revenue of $1.839 billion down nine percent and net income of just $137 million, representing a staggering fifty-three percent collapse in profit compared to the prior year period. Most notably, EA announced it would forgo its customary earnings conference call entirely, citing the pending acquisition, effectively denying management any opportunity to contextualize the deterioration or address shareholder concerns about valuation adequacy and deal completion certainty. This deliberate communication void arrives at perhaps the worst possible moment: when institutional investors most desperately require credible management reassurance that the consortium's $210 per share offer price fairly values the company's intrinsic worth and long-term franchise potential amid unmistakable operational headwinds.