Zynga shares dip on loss despite record revenue
Zynga generated record third quarter revenues and upped its financial projections for the year on Wednesday riding the gaming industry wave due to the Covid-19 pandemic.
During the third quarter, Zynga posted revenues of $503 million, up 46% from the previous year, and $58 million higher than the guidance it gave when it released its second quarter results. Meanwhile, it posted a net loss of $122 million, compared with a net profit of $230 million last year. Zynga attributed its loss, in part, to higher than expected payments it made as part of M&A deals.
“We’ve been able to work seamlessly from home and could do this indefinitely, but we have heard from some teams that they would prefer a mix of working from home and coming into the office,” CEO Frank Gibeau told me.
Prior to the pandemic, 16% of Zynga’s workforce of more than 2,000 work from home. In the Bay Area, the company has approximately 600 employees. He noted Zynga is currently in the process of designing its plans of how employees will return to the office.
“We’re looking at a blend of in office with remote work,” Gibeau said. “We’re looking at a lot of scenarios.”