Zynga Earnings: ZNGA Stock Jumps 6% Despite Missing Q2 Estimates

Zynga (NASDAQ:ZNGA) earnings for the mobile gaming company’s second quarter of 2020 have ZNGA stock on the rise after-hours Wednesday. That’s despite its diluted loss per share of 16 cents missing Wall Street’s estimate of 8 cents. Its revenue of $451.69 million also comes in below analysts’ estimate of $502.8 million.

A Zynga (ZNGA) sign hangs above the company headquarters in San Francisco, California.

Source: Sundry Photography / Shutterstock.com

Here are some additional highlights from the most recent Zynga earnings report.

  • Diluted losses per-share are down majorly from 6 cents during the same time last year.
  • Revenue for the quarter comes in 47.4% higher than the $306.5 million reported in Q2 2019.
  • Operating loss of $129.32 million is 111.2% worse year-over-year from $61.23 million.
  • The Zynga earnings report also includes a net loss of $150.3 million.
  • That is 169.2% wider than the $55.83 million reported during the same period of the year prior.

Zynga includes the following statement in its earnings report.

“With so many of us staying at home, we saw heightened levels of player engagement, social connection and monetization in our portfolio. In Q2, we delivered exceptional results with live services driving new revenue and bookings records and our best operating cash flow in more than eight years.”

Zynga also includes guidance for 2020 in its current earnings report. It’s expecting revenue for the year to come in at $1.8 billion. Wall Street’s estimate is for revenue of $1.86 billion for the full year of 2020.

Zynga also announced that it plans to acquire Rollic, a casual mobile game company based out of Istanbul.

ZNGA stock was up 5.6% after-hours Thursday.

As of this writing, William White did not hold a position in any of the aforementioned securities.

Article printed from InvestorPlace Media, https://investorplace.com/2020/08/zynga-earnings-push-znga-stock-higher/.

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