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Zynga Inc. (ZNGA) Beats Q2 Earnings, Down 9% on Decreased Active Users

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Zynga Inc. just released its Q2 2016 earnings results, posting earnings of -$0.03 per share and revenue of $182 million.  

Currently, Zynga has a Zacks Rank #3 (Hold), but it is subject to change following the release of the company’s latest earnings report. Here are 5 key statistics from this just announced report below.

Zynga:

1. Met earnings estimates. The company posted earnings of -$0.03 per share (Excluding $0.02 from non-recurring items), meeting our Zacks Consensus Estimate of -$0.03.

2. Beat revenue estimates. The company saw revenue figures of $182 million, beating our estimate of $169.5 million. 

3. “We are continuing to make great progress in our turnaround. Our Q2 bookings and Adjusted EBITDA were both above the high end of our guidance range, with bookings at $175 million and Adjusted EBITDA at $12 million. In Q2, we launched 4 new games, including the successful release of NaturalMotion's highly anticipated CSR2,” said CEO Frank Gibeau. 

4. Zynga also saw a 7% sequential decline in mobile daily active users (DAU) largely driven by older games. On mobile, it now has 15 million DAU, which represents 82% of the company’s total DAU.”  

5. ZNGA was down $0.27, or 9.09%, to $2.70 as of 4:46 p.m. EDT in after-hours trading shortly after its earnings report was released.

Here’s a graph that looks at Zynga’s latest earnings performance:

ZYNGA INC Price and EPS Surprise

ZYNGA INC Price and EPS Surprise | ZYNGA INC Quote

Zynga Inc. develops, markets, and operates social games as live services played on the Internet, social networking sites, and mobile platforms in the United States, North America, Asia, and the European Union.

Check back later for our full analysis on Zynga’s latest quarterly earnings report!

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