Pincus outlines Zynga mobile strategy as losses narrow
Zynga posts revenues of US$311m in fourth quarter and records revenue growth for FY 2012.
Zynga CEO Mark Pincus has outlined the social gaming company’s mobile strategy for the year after the company recorded revenue growth for the year ended 31 December 2012 and narrowed year-on-year losses for the fourth quarter.
The social gaming operator posted revenues of US$311m in Q4 2012, flat compared to the corresponding quarter in 2011, and $1.28bn for the financial year, a 12% year-over-year increase.
The company’s net losses for Q4 were $48.6m, down 89% from Q4 2011, and $209m for the year – the results exceeded some analysts’ expectations and Zynga’s share price has increased by 7% to $2.93 at the time of writing.
During a conference call discussing the results, Pincus explained that Zynga’s success on mobile this year would rely on building a better network to allow more people to play together.
He listed three principal objectives: “Expanding our industry-leading franchises and establishing new ones, leveraging these franchises to create the leading gaming network, and profitability, so we can continue to invest in the best franchise and network.”
In January Zynga also confirmed the authenticity of its real-money gambling URLs and it was also revealed that the company filed multiple patents throughout 2012 as it prepares for the launch.
The ZyngaPlusPoker and ZyngaPlusSlots offerings “ announced following last year’s agreement with egaming operator bwin.party “ are due to open for real-money play in the first half of this year.