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What Destroyed Zynga Earnings in Q4

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Zynga Inc. (NASDAQ: ZNGA) reported its fourth-quarter financial results after the markets closed on Wednesday. The company had no earnings and $186 million in revenue. The Thomson Reuters’ consensus estimates had called for no earnings on $178.67 million in revenue. In the same period of the previous year, Zynga reported no earnings and $182.35 in revenue.

In the fourth quarter, bookings totaled $182 million, which was above the high end of the guidance range but flat year over year and up 3% sequentially. Mobile bookings were $134 million, or 73% of overall bookings, up 21% year over year and up 10% sequentially.

Zynga also announced its first quarter acquisition of Zindagi Games. Zindagi is made up of world-class engineers, game designers, product managers and artists who have delivered high-quality games with small teams.

Average daily active users totaled 18 million, with 15 million coming from mobile. Average monthly active users totaled 68 million, with 55 million coming from mobile. Note that both of these numbers are lower than the same period from the previous year, as well as sequentially.


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