Zynga didn’t meet analysts’ already-low estimates in its just-released earnings release for the second quarter of its fiscal year, in which it showed revenue of $332 million and lost 3 cents per share. Analysts had predicted the company would earn 5 cents per share on revenue of $344 million.
Bookings, meanwhile, were $302 million, up 12 percent from the same period last year but a sequential decline from the previous quarter.
The company says it’s also lowering its outlook for the rest of the year based on “delays in launching new games, a faster decline in existing web games due in part to a more challenging environment on the Facebook web platform, and reduced expectations for Draw Something.” It’s now projecting $1.15 billion to $1.225 billion for the year.
This is only Zynga’s third earnings report as a public company. Last quarter, it beat expectations, with revenue of $321 million and and earnings of 5 cents per share, excluding stock-based expenses.
The company’s biggest recent news was the launch of Zynga With Friends, a cross-platform “social lobby” for its own games, as well as those from other developers. If successful, it could alleviate critics’ concerns that the social gaming giant is too dependent on Facebook.
The analyst conference call with analysts is scheduled for 2pm Pacific today.
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