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Zynga develop new games to support revenue growth

  • Zynga, the game developer most widely-known for franchises such as Farmville and Words With Friends, reported a massive year-over-year increase in revenue — $306 million, a 43 percent bump — for its second quarter of 2019. Revenue from Zynga's mobile sector was also the highest in the company's history at $287 million.

    As for its earnings, Zynga recorded a net loss of $56 million. That was ahead of its guidance of a $70 million loss. And with the company is pointing to its strong cash flow and significant revenue growth as evidence for its future profitability. For Q3, it is expecting to see a net income of $250 million, but that includes $305 million from the recent sale of its San Francisco headquarters. And if you want to Buy Zynga Poker Chips, visit 5mmo.com, a professional online in-game currency store.

    Zynga continues to develop new games, and its management expects these new products to drive revenue growth. Zynga has lined up several new titles for release in the second half. One of Zynga’s new games is Tiny Royale, a multiplayer shooter that Zynga released in June exclusively on Snap’s (SNAP) new gaming platform, Snap Games. Its partnership with Snap will open another advertising revenue opportunity.

    Looking ahead to Q3, Zynga anticipates $325 million in revenue, $380 million in bookings, and $250 million in net income, including a $305 million one-time gain on the sale of the company's San Francisco headquarters. And thanks to its better-than-expected performance, Zynga is raising its full-year guidance to $1.24 billion in revenue, up 37% year-over-year and up $40 million from the previous guidance. Bookings guidance is for $1.5 billion, up 55% year-over-year and 50 million above the original guidance.