Zynga Inc (ZNGA)

[MCArmel1]

Zynga beats by $0.01, beats on revenue

Aug 6 2015, 16:06 ET | About: Zynga (ZNGA) | By: Jignesh Mehta, SA News Editor

Zynga (NASDAQ:ZNGA): Q2 EPS of -$0.01 beats by $0.01.
Revenue of $174.46M (-0.4% Y/Y) beats by $17.62M.
Shares -6.69%.
Press Release

seekingalpha.com/news/2705516-zynga-beats-by-0_01-beats-on-revenue?uprof=45#email_link


Zynga Announces Second Quarter 2015 Financial Results
Thu August 6, 2015 4:03 PM|GlobeNewswire | About: ZNGA

DELIVERS $174M IN BOOKINGS AND $1M IN ADJUSTED EBITDA

http://media.globenewswire.com/cache/19100/int/36145.jpg
Zynga Appoints Frank Gibeau to Board of Directors

LAUNCHES TWO NEW GAMES WORLDWIDE: EMPIRES & ALLIES AND FARMVILLE: HARVEST SWAP

APPOINTS FRANK GIBEAU TO BOARD OF DIRECTORS

SAN FRANCISCO, Aug. 6, 2015 (GLOBE NEWSWIRE) -- Zynga Inc. (NASDAQ:ZNGA), a leading social game developer, today announced financial results for the second quarter ended June 30, 2015. In addition to today's press release, a copy of our Q2 2015 Quarterly Earnings Letter, which outlines our Q2 2015 financial results and business outlook, is available on our website at http://investor.zynga.com.

A photo accompanying this release is available at http://www.globenewswire.com/newsroom/prs/?pkgid=34993

Zynga (ZNGA) management will host a live Q&A session at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) today, August 6, to discuss the Company's Q2 performance and business outlook. Questions may be asked on the call or submitted in advance via email to [e-mail], and the company will respond to as many questions as possible.

"Our teams have been executing well and delivered strong Q2 results while also making significant progress against our best growth opportunities. In terms of our core franchises FarmVille, Slots, Poker and Words With Friends we beat our expectations and the teams did a good job delivering value for our players. We also launched Empires & Allies and FarmVille: Harvest Swap in Q2, and are excited for the upcoming launches of Dawn of Titans, CSR2 and our new Slots game later this year," said Mark Pincus, CEO and Chairman, Zynga. "In terms of our people, we've made progress in moving to smaller game teams. We believe this will allow them to be more nimble, creative and innovative. We're also continuing to add talent and leadership with our appointment today of Frank Gibeau, one of the top strategists in mobile gaming, to our Board of Directors."

Pincus continued, "We believe that social gaming has the opportunity to be as important a medium in people's lives as social networking and social media. We're excited to deliver on that promise by getting back to our entrepreneurial roots, innovating on game mechanics and leveraging world class data and analytics to accelerate our path. Finally, I want to thank our employees for their deep commitment and focus. Our teams have worked hard to lay the mobile-first foundation necessary to lead in social gaming. We look forward to building on that progress for the remainder of 2015 and beyond."

"We generated $174 million in total bookings, an increase of 4% sequentially and above the top end of our guidance range. Our sequential increase in bookings was driven in part by our growth in mobile, which was up 8% sequentially and 30% year-over-year," said David Lee, CFO, Zynga. "The biggest drivers of our mobile growth were our Slots franchise, which grew 32% sequentially, and the launches of Empires & Allies and FarmVille: Harvest Swap. In terms of adjusted EBITDA, our result for Q2 was $1 million, above the high end of our guidance range. We're particularly pleased to deliver these results even as we continue to make substantial investments in new game development, marketing for new game launches and core infrastructure in data and analytics."

Financial Results
• Bookings of $174 million; above high end of the guidance range

• Adjusted EBITDA of $1 million; above the high end of the guidance range

• Mobile bookings now represent 66% of overall bookings at $115 million; up 30% year-over-year

• Advertising bookings, excluding licensing and developer payments, up 44% year-over-year

• $1.1 billion in cash and marketable securities

• Implemented $100 million cost reduction plan

• Positive free cash flow inclusive of investment in game development, marketing for new launches and infrastructure

More...

http://seekingalpha.com/pr/14342356-zynga-announces-second-quarter-2015-financial-results