clock menu more-arrow no yes

Filed under:

Zynga reports $52.7 million loss for third quarter

New, 2 comments

Zynga released its full third quarter earnings today, posting a $52.7 million net loss for the quarter ending Sept. 30 which includes an impairment charge of $95.5 million related to the purchase of Draw Something developer OMGPOP.

In 2012, Zynga reports it has posted total losses of more than $160 million.

Revenue for Zynga's third quarter was $316.6 million, up just 3 percent from the same quarter last year. During Q3 2012, Zynga says that its daily active users, monthly active users and monthly unique users were all up year-over-year. Monthly unique paying customers decreased from 4.1 million in the second quarter of 2012 to 3 million in the third quarter, largely driven by a drop in Draw Something.

Zynga also announced today that its board of directors has authorized a share repurchase program to buy up to $200 million of its outstanding common stock.

Yesterday, Zynga announced it would be laying off 5 percent of its total workforce, closing its studio in Boston and possibly closing studios in Japan and the United Kingdom. The company also plans to sunset 13 older, underperforming games and reduce spending on The Ville, which Zynga CEO Mark Pincus says missed the company's expectations. The cuts aim to reduce $60 million to $80 million in annual spending.