Zynga Reports Record Setting Revenues in the Third Quarter

Social game developer Zynga reported third quarter financial results on Wednesday that revealed record setting revenue.

The company’s CEO Frank Gibeau said on the earnings call, “In Q3 we achieved our highest quarterly revenue and bookings ever, driven by strong momentum across our live services as well as contributions from our recently launched titles.”

He continued, “In the quarter revenue grew 48% year-over-year to $345 million and bookings increased by 59% year-over-year to $395 million. Additionally, we operated cash flow of $69 million, up 67% year-over-year and finish the quarter with approximately $1.45 billion in cash and investments. Based on this strong performance, we are raising our full year 2019 guidance, which Gerard will discuss in more detail later on this call. We are on track to deliver our best annual revenue and bookings in Zynga history and continued to be one of the fastest growing public game companies in 2019.”

For the third quarter ended September 2019, Zynga reported revenues of $394.81 million, which beat the Zacks Consensus Estimate by 2.03%. The company’s mobile games accounted for the lion’s share of those earnings, generating $328 million of the revenue and $378 million of the bookings.

Over the last four quarters, the company has not been able to surpass consensus EPS estimates.

Zynga shares have added about 54.5% since the beginning of the year.

Disclaimer: We have no position in Zynga Inc. (NASDAQ: ZNGA) and have not been compensated for this article.