Zynga Still Losing Players
Published 04/11/2015 | 11:43
Casual game giant Zynga still losing customers as gamers continue to abandon the company's products en masse every month
Despite being one of the biggest names in the casual gaming market thanks to their ludicrously successful Farmville title, developer Zynga has been finding life more difficult than usual of late, and the latest batch of financial results show that their slowdown is continuing unabated - despite surpassing their original forecasts for the quarter.
Posting revenues of $176 million may sound pretty good by most companies' standards, but those numbers only tell part of the tale Zynga, who look to be in something of a tailspin at the moment when it comes to player numbers. Overall, the developer's games have seen active daily users drop by more than a fifth to 19 million, with monthly engagements dropping even further, by 27 pecent, to 75 million when compared to last year's figures. The bottom line, although remaining flat when compared to last year's figures, is helped by a major restructuring of the company's operations, which saw more than 350 employees losing their jobs, saving the company as much as $100 million.
As part of the quarterly financial report, Zynga also announced that Chief Financial Officer David Lee is stepping aside from his position, to be replaced by Chief Accounting Officer Michelle Quejado. Speaking about his departure, Lee praised CEO and founder Mark Pincus for his work behind the scenes in building the company up, saying "I believe Zynga is in a much stronger position today than it was when I joined the company, and I want to thank Mark for his partnership." Lee's replacement Quejado joined Zynga in March of this year, having previously worked at Lam Research Corporation from 1999, and for the United States Department of Defence.
In further bad news for the studio, it also confirmed that two new titles, Dawn of the Tians and CSR2, have slipped into 2016, having originally been planned for release before the year's end.