Electronic Arts (NASDAQ:ERTS) today announced preliminary financial results for its fiscal second quarter ended September 30, 2006. Net revenue for the second quarter was $784 million, up 16 percent as compared with $675 million for the prior year. Sales were driven primarily by Madden NFL 07, NCAA Football 07, FIFA 07, NBA Live 07 and other popular titles.

Gross profit for the quarter was $445 million, up 14 percent year-over-year. Net income for the quarter was $22 million as compared with $51 million for the prior year. The Company adopted Statement of Financial Accounting Standards (SFAS) No. 123R "Share-Based Payment" at the beginning of its fiscal year resulting in pre-tax stock-based compensation charges of $33 million in the second quarter. Diluted earnings per share were $0.07 as compared with $0.16 for the prior year.

EA's Xbox 360 revenue was $166 million -- offsetting a 25 percent decline in current-generation console revenue. Year-to-date, the company is the number one publisher on the Xbox 360 in both North America and Europe. During the quarter Madden sold millions of copies - five million copies sold in the first five weeks of release. Year-to-date, Madden NFL 07 is the industry's number one title in North America. NCAA Football 07 set a record -- selling over 2 million copies in the quarter; NHL 07 has gone platinum since launch; FIFA 07 had a strong international launch -- selling nearly two million copies in just one week.

During the quarter EA also announced partnerships with Apple to bring its games to the iPod and with Massive and IGA to introduce dynamic in-game advertising to several titles. EA also purchased European developer Phenomic Games and closed the acquisition of Mythic Entertainment.