EA CEO, Execs Turn Down Cash Bonuses Following Revenue Slump
The performance-based stock awards granted to EA brass such as CEO Andrew Wilson were nearly halved in 2019 from the previous year.
Following a slump in total net revenue and income year-over-year, EA CEO Andrew Wilson and other top execs at the video game publisher voluntarily turned down cash bonuses for fiscal year 2019, per a new SEC filing.
"While there were many achievements this year that we are proud of, after generating strong financial results and robust stockholder returns from fiscal 2014 through fiscal 2018, we did not perform to our expectations during fiscal 2019," the company said.
The performance-based stock awards granted to EA brass such as Wilson and fellow execs such as chief operation officer Blake Jorgensen and chief technology officer Kenneth Moss were nearly halved in 2019 from the previous year.
In May, EA reported that total net revenue for the final quarter of fiscal year 2019 came in at $1.2 billion, down from nearly $1.6 billion over the same stretch of time in 2018. Meanwhile, net income tumbled from $607 million to $209 million. Total revenue for the fiscal year was down to $4.9 billion from $5.1 billion in 2018, while net income also dipped slightly from $1.02 billion from $1.04 billion.
The report was surprising given the hot start that the company's free-to-play game Apex Legends had at launch in February. The game grew quickly to 10 million players in its first 10 days of release and now boasts more than 50 million players. A second season of content was announced for the title at last week's E3 convention.
EA has a busy few months in the near future, releasing a number of games such as the indie adventure Sea of Solitude on July 5; new Madden, NHL and FIFA installments in August and September; and Respawn Entertainment's Star Wars: Jedi Fallen Order in November.