Zynga Revenue Falls 36% To $203m In Q3October 27, 2013 5:53 pm
Social games company Zynga has released its Q3 results revealing a 36% fall in revenue to $203 million, compared to the same period last year.
During the quarter, Zynga reported bookings of $152 million for the quarter, with mobile bookings reaching $46 million compared to $51 million for Q3 2012. In addition, daily active users declined by 49% to 30 million from 60 million in 3Q 2012.
The less than spectacular result comes despite Zynga launching several new games during Q3, including Fairy Tale Twist, Ninja Kingdom and New Scramble With Friends. However, none of them proved great hits compared to the company’s most popular titles, namely FarmVille and Zynga Poker.
However, CEO Don Mattrick, who replaced Mark Pyncus a few moths back, appeared satisfied with his first quarterly results, and expressed optimism that the company would achieve profitability in 2013 and growth in 2014.
Commenting on Zynga’s Q3 figures, Don Mattrick. explained: “We are encouraged to see sightlines to growth and expect to be profitable for the full year on an adjusted EBITDA basis. Our teams are working hard to compete more aggressively on the web, move to mobile and develop new hits, and I am happy with the early progress we have made.”
The company has been in the doldrums for a while, and its stock price is currently trading down by more than 60% from its historic all-time high. Nevertheless, Zynga latest Q3 results were actually better than analysts had predicted, causing the company’s share price to soar by more than 15% in early trading.
Looking ahead, CEO Don Mattrick, said: “I am confident that Zynga is rewiring itself in a meaningful way that will strengthen the core of our business and put us back on track to achieve significant long term growth and profits.”