Fri, Apr 27, 2012 | 00:38 BST
Zynga reports $85 million quarterly loss, beats revenue expectations
Social gaming giant Zynga reported $321 million in revenue in its first quarter, returning an adjusted profit to shareholders despite significant outlay.
Reuters reports analysts had predicted revenue of $317.25 million, but despite outperforming expectations, the company’s stock slid 4% in the wake of the earnings release.
Thanks to $133.9 million in stock-related expenses, Zynga lost $85 million over the course of the quarter. When adjusting to compensate for this figure, the company reported a signficant year on year increase in profits, suggesting the $180 million OMGPOP grab was well within its grasp.
Hidden Chronicles and Slingo were noted as important earners during the quarter, and despite only picking it up in late March, Draw Something drew in significant cash, too.
Zynga said it’s monthly average users had increased by 24% to 292 million, with bookings – spending on virtual items – up to $329 million.