Zynga Losses, Worse Than Predicted

When Zynga announced its revenue on September 30, It was expected that it would be better and people were expecting it would be better that their expectations.

But, when the analysis came out, it was completely u turn. Company’s revenue went into loss and that too, to the extent that no one predicted. 43 percent of total revenue of Zynga came from Zynga poker who contributed 19 percent, Hit It Rich contributed 12 percent and Wizard of Oz contributed 12 percent. The total revenue of Zynga for this term is 182.4 million Dollars.

Last year in the same quarter company reported the profit of 3.05 million Dollar. The profit was small and people were expecting the profit this year will be more than what made last year. But Zynga reported loss of 40.7 Dollar in this term on those earning which is a sad part.

Amid all this sad news, a good news coming for Zynga is the company has reported bookings of 196.7 million Dollars for its recent quarter (The payments made are for Zynga free-to-play games).

These bookings have been increased approx up to 12 percent year-over-year. These shows the players are taking interest in Zynga and spending more than what they were doing last year. Nevertheless, these bookings are . It is upside about 34 percent year-over-year.

The Zynga has also reported that the lion’s share of earnings has come from, mobile games, it is accounting 80 percent i.e. 145.9 million Dollars, of revenue in the quarter. It is 16 percent more than what was there in 2015.

Average daily active users of Zynga’s and monthly active users in this quarter have increased and it is happening year-over-year, however, that was mostly driven by users that use mobile to play game or register.