“FarmVille” creator Zynga Inc forecast lower-than-expected bookings in the current quarter, as the company expects to release only one game in the period.
The company forecast bookings in the range of $150 million-$165 million (roughly Rs. 1,019 crores – Rs. 1,121 crores), below the average analyst estimate of $177.3 million (roughly Rs. 1,205 crores) expected by research firm FactSet StreetAccount.
Bookings are a closely watched metric, which includes the sales of virtual goods such as currency, lives, crops and food.
The company, which is trying to attract more players to its games, said it would be launching a relatively small game in the first quarter.
However, the company said it expected to release 10 new games in 2016.
Zynga, once one of Silicon Valley’s fastest-growing companies, suffered a dramatic reversal of fortunes in 2012 as gamers switched from the company’s Facebook-based desktop games to those played on mobile devices.
The mix of game launches in 2016 “has the potential to substantially change our profitability,” Zynga Chief Executive Mark Pincus told Reuters.
Zynga reported higher-than-expected bookings, an indicator of future revenue, in the fourth quarter, helped by its games based on slot machines.
Bookings were $182 million (roughly Rs. 1,237 crores) in the quarter ended December 31. Analysts on average had expected $179.9 million (roughly Rs. 1,222 crores), according to research firm Factset StreetAccount.
The company’s net loss widened to $46.9 million (roughly Rs. 318 crores) in the quarter from $45.1 million (roughly Rs. 306 crores) a year earlier.