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Zynga posts smaller 4Q net loss, flat revenue

NEW YORK (AP) â?? Business online games Zynga said its loss reduced in the last quarter, although revenues largely unchanged by the company cut co...

 

NEW YORK (AP) â?? Business online games Zynga said its loss reduced in the last quarter, although revenues largely unchanged by the company cut costs by laying off employees, closing offices and stop the older games.

results exceeded Wall Street expectations and shares offer muted Zynga Inc. rose 8 percent in after-hours trading after the publication of the results. After a difficult 2012 which Zynga its stock could fall 75 percent, CEO Mark Pincus called 2013 a “transition year hinge” for the company, which aims to further reduce costs and expand the sources of income, especially mobile games.

The San Francisco company behind “FarmVille” and “CityVille” has lost $ 48.6 million, or 6 cents per share, for the period from October to December. This compares with a loss of $ 435 million, or $ 1.22 per share in the same period a year earlier. Zynga started trading publicly on December 16, 2011, and was deprived of most quarter of 2011.

Sales

Zynga has remained largely unchanged at approximately $ 311 million . But it was well above the average analyst estimate of $ 250 million, polled by FactSet.

For the current quarter, Zynga said it expects an adjusted loss of 5 cents to 4 cents per share on revenue of $ 255 1 to 265 million. Analysts expect a loss of 1 cent per share on revenue of $ 268 million.

Zynga fourth quarter cut spending by two-thirds, to $ 274 million $ 798 million, while the demand for the games that are played mainly on Facebook, weakened. In October, the company announced that it would be about 5 percent of the full-time staff of about 3200 employees to cut. He also has 13 games old and closed development studios slain in Boston and elsewhere.

Shares rose 22 cents, or 8 percent, to $ 2.96 in after-hours trading after gaining 18 cents to close at $ 2.74 during the regular session. Zynga shares exchanged $ 2.09 to $ 15.91 in the past 52 weeks.