Electronic Arts’ said sales of “Star Wars Battlefront 2” fell short of its forecast in its most recent quarter, as it dealt with backlash from consumers over a planned in-game purchase scheme.

EA turned the feature off in the game in response to negative sentiment from gamers, who were angered by having to pay for additional features on top of those available under the title’s $60 purchase price (Inside Licensing Nov 20).

Sales of the game in the quarter ended Dec. 31 were less than a million units short of the eight-million- unit target, said CFO Blake Jorgenson. Twenty-eight percent of the Battlefront 2 console title sales were via digital download, up from 16% in 2016. EA has forecast sales of 13 million units for the fiscal year ending March 31.

EA’s net bookings were $1.97 billion, down 4.7% from a year earlier and $29 million short of the company’s forecast due largely to the Star Wars game, Jorgenson told analysts. Star Wars Battlefront premium content offered after the game’s launch is “valued by gamers, but only when we offer it in a world that doesn’t split the community,” CEO Andrew Wilson said.

EA has to be “really careful and consider in designing post-launch content that will be authentic and engaging, but most importantly offer player choice. We believe that live services that include optional digital monetization, when done right, provide a very important element of choice that can extend and enhance” the games.  Respawn Entertainment’s non-Battlefront Star Wars title is slated for release in the EA fiscal year starting April 1, 2019 and a date hasn’t been set for a Battlefront III game.

While revenue from Star Wars Battlefront 2 underperformed the company’s projections, sales from live event services (i.e. eSports competitions), including those attached to EA’s FIFA 18 and Madden NFL titles, offset the shortfall, Jorgenson said. Live event services posted a 39% gain in net bookings revenue to $787 million in Q3.

EA’s Q3 net loss widened to $186 million from $1 million a year earlier as the company took a $176 million charge for an incremental income tax expense tied to the new federal Tax Cuts and Job Act. But revenue rose 7.4% to $1.15 billion, as digital net revenue increased 13.8% to $780 million. Console and other net revenue fell 18.1% to $380 million.

Contact:

Electronic Arts, Blake Jorgenson, Chief Financial Officer, 650-628-1500