Zynga reported a small profit in the first three months of the year, as the online game company reduced expenses. But a revenue decline and a lower-than-expected second-quarter forecast are sending its stock tumbling.
Online game maker Zynga announced this week that Dan Porter is leaving. Porter was the former CEO of OMGPop, which Zynga bought out for a reported $210 million in 2012.
Online game maker Zynga is reporting a smaller net loss and nearly flat revenue for the fourth quarter of 2012, a year in which its stock price shrank 75 percent.
Online games company Zynga said it has asked Nevada gambling regulators for a decision that could pave the way for it to enter the U.S. gambling market.
Zynga shares were falling in after-hours trading after the online game company and Facebook disclosed in government filings that they changed the terms of their long-standing relationship.
Troubled Zynga’s stock is trading near its lowest level ever Friday after the online game maker behind “FarmVille” forecast a third quarter loss amid weak demand for its Web-based games. It’s also taking a hefty charge related to its March acquisition of mobile game company OMGPop.
Zynga is firing back at rival game maker Electronic Arts in a legal tussle it says goes beyond who copied whose game.
Although Google, Facebook, Zynga and many other tech companies have been on hiring sprees lately, at least one executive has questioned how strong Silicon Valley’s latest boom cycle really is.
It’s a total makeover for the simplistic, addictive, but oft-derided online diversion. It now has lush 3-D graphics instead of the old two-dimensional figures.
Facebook reported stronger-than-expected revenue in the social media company’s first earnings report since its rocky initial public offering two months ago.