Zynga Inc (NASDAQ:ZNGA) released its latest earnings results after closing bell tonight, posting earnings of 0 cents per share on $153.2 million in revenue. Analysts had been expecting the game maker to report earnings of 0 cents per share on $191.21 million in revenue.
Breaking down Zynga’s earnings results
Zynga reported $175 million in bookings, $14 million in adjusted EBITDA, and non-GAAP net income of $3 million. The game maker said it had sequential growth in bookings, adjusted EBITDA, mobile bookings mix and mobile audience for the second quarter in a row. In addition, it saw a 22% growth in mobile audience across monthly active users quarter over quarter and a 12% increase in daily active users.
The game maker reported that it was entering into the sports category and had signed multi-year licensing agreements with the NFL, NFL Players Inc. and Tiger Woods. Zynga also said it expanded its presence in the runner game category by signing a multi-year licensing agreement with Warner Bros. Interactive Entertainment. The company is licensing Warner Bros.’ Looney Toons characters.
Zynga cuts guidance
Zynga also cut its guidance for the full year, citing the delayed launch of some of its new features and games. The game maker expects bookings for the full year to be between $695 million and $725 million. The previous projection was between $770 million and $810 million. Zynga projects adjusted EBITDA of between $40 million and $60 million, compared to its previous estimate of between $70 million and $100 million. Management projects non-GAAP losses per share to be between 1 cent and 0 cents a share, based on between 874 million and 912 million shares.
For the third quarter, the game maker now projects revenue of between $160 million and $170 million. Management expects net losses of between $57 million and $52 million and a diluted net loss per share of 6 cents based on about 855 million shares. Zynga expects bookings of between $165 million and $175 million and adjusted EBITDA of $0 million to $5 million for the quarter. The company also projects non-GAAP losses per share of between 1 cent and 0 cents.