Earnings Date: 4/19/22

Market Cap: $155 B

Results

• Q1 Revenue: $7.9 Billion – up + 9.8% – Miss
• EPS: $3.53 – down -5.9% – Beat
• Outlook Q2: 10% Rev. Growth – Lower

Highlights

• Operating cash flow up 18.8%
• Paid down $700 million in debt
• Still market leader
• Gaming acquisitions
  • Night School Studio
  • Next Games
  • Boss Flight Entertainment

Concerns

• Loosing subscribers!
  • Lost 200K subscribers
  • Without the loss of Russia, the gained 500K subscribers
• Slowing growth – and no clear path to higher growth
• Expenses increasing