Original post can be found HERE
updated
4/26/2012 4:38:46 PM ET
NEW YORK — Online
games company Zynga reported a net loss in the first quarter because of
stock compensation expenses, but adjusted earnings were better than
what Wall Street expected.
Zynga Inc. said Thursday that net loss was $85.4 million, or 12 cents
per share, in the January-March period. It had earnings of $16.8
million, or about break even, a year earlier when it was still a private
company.
Adjusted earnings of 6 cents per share beat Wall Street's
expectations. This figure excludes one-time items such as $133.9 million
in stock-compensation expenses.
Revenue grew 32 percent to $321 million from $243 million.
Analysts, on average, were expecting earnings of 5 cents per share on revenue of $318 million, according to a poll by FactSet.
Zynga's games include "CityVille" and "Words With Friends." The
company recently bought OMGPop, the maker of the mobile game "Draw
Something." This helped boost the number of monthly active users to 292
million, from 236 million a year earlier.
For all of 2012, Zynga expects adjusted earnings of 23 cents to 29 cents per share. Analysts were forecasting 27 cents.
The San Francisco-based company's stock climbed 8 cents to $9.50 in
after-hours trading. The stock had closed up 31 cents at $9.42. Zynga's
stock priced at $10 when the company went public in December.
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