Electronic Arts released their second quarter financial information, and the results were not so hot.

EA posted a net loss of $310 million, but did see an increase in overall revenue to $894 Million. EA’s 2007 Q2 results were a lot less painful, $195 million net loss, and $640 million in revenues. That’s a 62% increase in net loss.

Electronic arts also fired some 600 employees worldwide. "We are starting to see weakness at retail in October, indicators that retailers and consumers are being more cautious" says John Riccitello, CEO of EA. "We have begun a cost reduction initiative which will include eliminating approximately six percent of our existing workforce - or approximately 600 positions. We will also reduce hiring and close some open positions that we had previously planned to fill this fiscal year." Apparently they are making like their consumers and being cautious as well.

Games have taken also taken a hit. According to Riccitello, "marginal SKUs," including Tiberium are going to be cut. Harry Potter and the Half-Blooded Prince, Saboteur, and Lord of the Rings: Conquest will all be delayed to undisclosed times.

Not all games seem to be at fault for the loss as Madden 09 sold 4.5 million copies, Spore sold 2 million copies, Mercenaries 2 sold 1.9 million and Warhammer Online: Age of Reckoning sold 1.2 million, all boosting EA’s revenue. It seems that the recession-proof video game industry may be a tad more susceptible that we thought.