Zynga to report 3Q net loss, take charge

October 4th, 2012 in Technology / Business

(AP)—Zynga expects a loss for the third quarter and says its preliminary results reflect weak demand for some games. It's also taking a charge related to its acquisition of OMGPop, a mobile game maker.

The San Francisco-based company said Thursday that it sees a net loss of 12 to 14 cents per share. Excluding one-time items the company expects to break even or post a loss of 1 cent per share.

Zynga Inc. also forecast revenue of $300 million to $305 million.

Analysts expect breakeven earnings on revenue of $286.7 million, according to FactSet.

Zynga will take a charge of $85 million to $95 million on its OMGPop acquisition, the company behind "Draw Something."

Zynga shares tumbled 15 percent in after-hours trading.

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"Zynga to report 3Q net loss, take charge." October 4th, 2012. http://phys.org/news/2012-10-zynga-3q-net-loss.html