Zynga Surprises With Revenue Gains, But User Numbers Continue To Plunge

In the first full quarter with founder Mark Pincus back in the CEO role, social-gaming company Zynga Inc. beat expectations for earnings and revenue, but continued to struggle attracting players. Zynga reported a net loss of $26.9 million, or 3 cents a share, on sales of $199.9 million, representing revenue gains of more than 30% year-over-year; after adjustments, Zynga claimed a loss of a penny a share. The company also said it had 83 million monthly active users in the quarter, down 32% from a year earlier. Analysts surveyed by FactSet had expected Zynga to report an adjusted loss of 2 cents a share on sales of $158.7 million, with 95.2 million monthly active users. Pincus returned as CEO in April, replacing the executive he had helped lure to Zynga to replace him less than two years earlier. Zynga shares fell about 3% in late trading after closing with a 2.4% loss at $2.45.