Zynga announced its second quarter financial results today for the three month period which ended June 30th, revealing a 31 percent drop in year-over-year earnings. The social game maker posted a $15.8 million loss, with revenue for the quarter totaling $213 million.
Last year, Zynga boasted 72 million daily active users playing its games during the second quarter. This year the company posted 39 million, a 45 percent drop. It is also 24 percent less than Zynga’s Q1 of this year.
Zynga’s new CEO Don Mattrick released a statement alongside the financial results.
“The next few years will be a time of phenomenal growth in our space and Zynga has incredible assets to take advantage of the market opportunity,” Mattrick said, in part. “To do that, we need to get back to basics and take a longer term view on our products and business, develop more efficient processes and tighten up execution all across the company. We have a lot of hard work in front of us and as we reset, we expect to see more volatility in our business than we would like over the next two to four quarters. I’m privileged to lead Zynga and I look forward to spending more time with our players, employees and shareholders.”
Shortly after the company’s financial statement, Zynga announced it would no longer pursue its plans to develop a real money online gambling business.
Zynga laid off 520 employees in June, and as a result closed its Los Angeles, New York, Austin and Dallas studios.