Zynga Inc.’s stock climbed 5% in extended trading Wednesday after the gaming company reported a surge in revenue and bookings.
Zynga
ZNGA,
said revenue skyrocketed 52% to $616 million, though analysts polled by FactSet were expecting $679 million. Just as important, Zynga recorded quarterly bookings of $699 million, up 61% year-over-year.
“We continue to see gains from customers playing games from home,” Zynga Chief Executive Frank Gibeau told MarketWatch in a phone interview. “In an unprecedented year, we delivered the highest quarterly revenue and bookings in Zynga’s history.”
Average mobile daily active users surged 77% to 36 million as home-bound consumers looked for entertainment options during a deadly pandemic — an enduring trend that has benefited other videogaming companies such as Electronic Arts Inc.
EA,
Take-Two Interactive Software Inc.
TTWO,
and Activision Blizzard Inc.
ATVI,
The San Francisco-based company also profited from strength in mobile live services and, in particular, the popularity of five titles — “CSR Racing 2,” “Words With Friends,” “Zynga Poker,” “Empires & Puzzles” and “Merge Dragons!”
Additionally, contributions from Rollic’s hyper-casual games portfolio and the rollout of “Harry Potter: Puzzles & Spells” helped expand Zynga’s gaming portfolio and buttressed its international audience.
Zynga shares are up 65% over the past 12 months, while the broader S&P 500 index
SPX,
is up 16% in the past year.
This article is auto-generated by Algorithm Source: www.marketwatch.com
