Zynga Earnings: Exceeds Estimates and Satisfies Investors
Zynga, Inc. (NASDAQ:ZNGA) had a loss and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 5.84%.
Zynga, Inc. Earnings Cheat Sheet
Results: Net loss of $48.6 million (loss of 6 cents per diluted share) in the quarter versus a net loss of $435.01 million in the year-earlier quarter.
Revenue: Decreased 0.08% to $311 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Zynga, Inc. reported adjusted net income of 1 cent per share. By that measure, the company beat the mean analyst estimate of a loss of $0.03 per share. It beat the average revenue estimate of $212.11 million.
Quoting Management: “The biggest highlight of the quarter was seeing our team deliver a successful sequel in FarmVille2, a next generation social game that offers cutting edge 3-D experiences loved by millions of FarmVille fans,” said Mark Pincus, CEO and Founder, Zynga…
…In 2013 we’re excited to bring this new class of social games to mobile phones and tablets and build a network that offers an easier, better way for people to play together.”
Revenue decreased 1.78% from $316.64 million in the previous quarter. Net income increased to $0 in the quarter versus a net loss of $52.73 million in the previous quarter.
Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a loss of $0 and has not changed. For the current year, the average estimate is a profit of $0.03, which is the same with that ninety days ago.
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(Company fundamentals provided by Xignite Financials.)