I have friends who are absolutely addicted to Words with Friends.
A new amendment:
sec.gov
UPDATE 1-Zynga profit down on new investments
Fri Nov 4, 2011 4:20pm EDT
* Q3 profit falls more than 40 percent
* Revenue up 80 pct
* Has 6.7 million paying players for the year ending Sept.
Nov 4 (Reuters) - Zynga reported a 43 percent drop in quarterly net income on Friday as the online game company plows money into staff, technology and new games in preparation for its IPO.
The top maker of Facebook games posted net income of $13 million during the third quarter. Revenue jumped 80 percent to $307 million, according to a regulatory filing.
Under pressure to continue producing wildly popular games, this marks another quarter in which Zynga experienced a drop in net income over the previous year. For the quarter ended in June, Zynga's net income dived to $1.4 million from $14 million a year earlier.
Total costs and expenses during the third quarter rose to about $275 million from $136.4 million a year earlier.
Zynga is one of the latest in a clutch of social media and online startups including LinkedIn , Pandora Media and Groupon to make a highly anticipated public debut. The company plans to go public before the U.S. Thanksgiving holiday on Nov. 24, according to sources.
Groupon Inc , the world's largest daily deals company, debuted on Nasdaq with a bang on Friday, with its stock rising as much as 56 percent and with the company approaching $20 billion in market capitalization. Groupon shares ended the day 30.6 percent higher at $26.11.
Zynga, known for its hit Farmville and Mafia Wars games, is being encircled by competitors including Electronic Arts and Walt Disney Co.
The company hosted a media event in mid-October showcasing its latest lineup including mobile game Dream Zoo and a medieval-themed Facebook game CastleVille. It makes money by selling virtual goods.
In the filing, Zynga also offered insight on the number of paid players, some 6.7 million who shelled out on average $110 per unique player for the nine months ending in September.
That compares to 5.1 million players who paid on average $105 in the same period a year ago.
reuters.com |
