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Electronic Arts Profit Outlook Cut as Time Warner Delays “Potter”

August 15, 2008
by Tiernan Ray
Blogger, Barron's, Tech Trader Daily

Tiernan Ray

Behold the Power of Potter. Time Warner (TWX) yesterday disclosed it won’t put out the new Harry Potter film, “Harry Potter and the Half-Blood Prince,” this November as originally planned, and instead will make it a Summer 2009, release–specifically, for July 17 of next year. That’s going to hurt Electronic Arts (ERTS), which will lose a 2008 holiday game title that represents about $150 million in revenue this year, according to analysts. The revenue and profit should come back the following year, though.

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