Although concern still exists with regard to the long-term profitability potential of Zynga, the company is pleasantly surprising some today with its Q4 2012 earnings report.
On Tuesday, Zynga managed to beat analyst estimate for the quarter.
Full year 2012 revenue came in at $1.28 billion, up 12% year-over-year. Q4 revenue was $311 million (flat year-over-year).
“The biggest highlight of the quarter was seeing our team deliver a successful sequel inFarmVille2, a next generation social game that offers cutting edge 3-D experiences loved by millions of FarmVille fans,” says Mark Pincus, CEO and Founder of 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.”
In December 2012, Zynga mobile game players in the US spent more time in Zynga games than the next five game companies combined, according to comScore.
“Our team executed well in the fourth quarter and made important progress in building sustainable new revenue streams and further aligning our company around our best growth opportunities,” says David Ko, Chief Operations Officer at Zynga. “2013 will be a pivotal transition year and we are focused on achieving three strategic objectives: growing our franchises on mobile and web, expanding our network and maintaining profitability on an adjusted EBITDA basis. With 298 million monthly average users, including 72 million on mobile alone, Zynga already has the largest social gaming audience and remains the best positioned company to lead in building the future of social gaming.”
Are you optimistic about Zynga in 2013?