Feeds

Shocked Zynga investors get a penny per share

Still losing users and money in general though

Boost IT visibility and business value

Zynga has shocked analysts by somehow coming up with a cent in earnings for each one of its shares.

The online gaming firm, which is struggling to retain its users, was expected to come up with a loss of three cents per share for investors, but managed to grab them a penny instead.

That did not make the rest of its financial results look much better though. Zynga still made a net loss in the fourth quarter of $209m, while its revenue for the quarter was the same as last year's, but bookings were down 15 per cent.

For the full year, the social gaming firm made just $1.28bn in revenue, up just 12 per cent from 2011, but bookings slipped 1 per cent down to $1.15bn. Zynga now expects the first quarter of 2013 to yield revenue of between $255m and $265m, down around 20 per cent from the same quarter last year.

Zynga was hot property just two years ago, but users have started to tire of the firm's Farmville and Cityville games. Like so many other tech firms, Zynga lagged in its move to mobile, underestimating how quickly folks would abandon their laptops.

While its daily active users are up slightly from the last quarter of 2011 - to 56 million from 54 million - the number is nonetheless down from the third quarter, when 60 million people were logging on. In response, Zynga has been ruthlessly axing games that don't work out, including Cityville 2, which only launched in the fourth quarter. ®

Boost IT visibility and business value

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Backing up Big Data
Solving backup challenges and “protect everything from everywhere,” as we move into the era of big data management and the adoption of BYOD.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.