New | Game firm Zynga's measure of future revenues well below estimates
Social gaming company expects to launch games in fourth quarter
Zynga's forecast current-quarter bookings, a measure of future revenue, is well below estimates as the social gaming company expects to launch some games only in the fourth quarter.
Shares of the company, which reported lower-than-expected active monthly players for the second quarter, fell as much as 10 per cent last week.
The company, known for its FarmVille and Mafia Wars games, said it would release its action-strategy games Dawn of Titans and CSR2 in the fourth quarter.
"The fourth quarter is really going to be the one that determines Zynga's fate, at least in the near term," Barclays analyst Chris Merwin said.
Zynga, once one of Silicon Valley's fastest-growing companies, suffered a dramatic reversal of fortunes in 2012 as gamers switched from the company's Facebook-based desktop games to those played on mobile devices.
Founder Mark Pincus returned to the company in April and has since sharpened the company's focus on releasing more mobile games and cutting costs.