FarmVille maker Zynga reports higher-than-expected bookings

Reuters News
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Posted: Aug 06, 2015 4:07 PM

(Reuters) - Zynga Inc <ZNGA.O> reported higher-than-expected bookings, a measure of future revenue, in the second quarter as its new games such as "FarmVille: Harvest Swap" and "Empires & Allies" attracted more gamers.

The company's bookings were $174 million in the quarter ended June 30. Analysts on average had expected $157.4 million, according to research firm Factset StreetAccount.

Zynga records the sale of virtual goods and downloads as deferred revenue, which is recognized as they are consumed. Bookings equal revenue recognized in a period plus the change in deferred revenue.

The company's net loss narrowed to $26.9 million, or 3 cents per share, in the quarter from $62.5 million, or 7 cents per share, a year earlier.

Zynga's revenue rose 30.5 percent to $199.9 million, while research and marketing costs fell about 2.5 percent.

(Reporting by Anya George Tharakan in Bengaluru; Editing by Savio D'Souza)