Electronic Arts 2000 Annual Report Download - page 3

Download and view the complete annual report

Please find page 3 of the 2000 Electronic Arts annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 72

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72

01
CHAIRMAN’S LETTER EA 2000 AR
CHAIRMAN’S LETTER
TO OUR STOCKHOLDERS
During fiscal year 2000 Electronic Arts (EA) significantly enhanced its strategic position in
the interactive entertainment category. While continuing to create the world’s greatest
games on current platforms, EA has taken action to capitalize on technology breakthroughs
and to help insulate the company from the cyclical economics that historically impact our
industry during console transitions. Despite the console market transition beginning sooner
than expected, we continued to grow revenues and profits during the year. We reached an
important agreement with America Online, Inc. to be the exclusive provider of games on all
AOL sites, increased market share on the critical PC platform, and positioned ourselves for
leadership on the next generation of console platforms.
By managing the industry’s best development talent, creating strong franchise properties,
and expanding our global distribution, we increased revenues and profits in a challenging
market environment. Including the results of our new online division, EA.com,
(1) consolidated
net revenues increased 16 percent to $1,420 million. Consolidated net income, on an as-reported
basis, including goodwill and one-time acquisition related charges, increased 60 percent to
$117 million; while consolidated diluted earnings per share increased 53 percent to $1.76.