Don Mattrick, the chief executive officer of Zynga, has said he is “encouraged” by the social gaming company’s performance during the three months through to September 30 despite suffering further financial losses.
Revenue for the third quarter amounted to $176.6 million (€142.5 million), down from the $202.6 million generated in the corresponding period last year.
Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) also dropped from $6.9 million in the third quarter of 2013 to $2.2 million in the same period this year.
In addition, net loss increased significantly from a negative of just $68,000 last year to a loss of $57.1 million in the most recent quarter.
Despite these negative figures, bookings during the period jumped from $152.1 million in Q3 of 2013 to $175.5 million this year.
The latest quarterly results place Zynga’s revenue for the nine months ended September 30 at $497.9 million, down from $696.9 million at the same point last year.
Adjusted EBITDA has slumped from $43.9 million to $30.5 million while net loss increased from $11.7 million last year to $180.8 million in the first nine months of 2014.
Despite having suffered widespread losses in the third quarter and first nine months of the year, Mattrick remains upbeat about Zynga’s performance and has high hopes for Q4 and 2015.
“I am encouraged by the results of the quarter as we navigate through this time of transition,” Mattrick said.
“In Q3, we reported bookings at the high end of our guidance range and Adjusted EBITDA near the midpoint of our guidance range.
“Our teams have been working hard over the last year to reshape our business and we are seeing that work show up in two important areas – our franchise bookings and mobile bookings growth.
“We have been operating with purpose and it has taken us some time to transform our business as we faced some execution challenges in the quarter. This has been an investment year for us as we assembled a new leadership team, reorganised the company and reset our product pipeline.
“As we move forward and aggressively compete in an exciting market, we continue to believe that we are well positioned to take advantage of our global scale and diversified product portfolio, and we remain committed to working together as a team to deliver long term value for our consumers, employees and shareholders.”
source : www.igamingbusiness.com
