The first Reuters headline on Zynga's first-quarter earnings blared that the company had lost $85 million. The update announced that it had posted a revenue of $321 million. As it turns out, both are true.
The company, a leader in what The New York Times Magazine's Sam Anderson has called "stupid games" and a major Facebook partner, paid out its millions on stock compensation, but it was still a banner first quarter for Zynga, which bought Draw Something maker OMGPOP last month for $200 million. The Associated Press reports: "Adjusted earnings of 6 cents per share beat Wall Street’s expectations. This figure excludes one-time items such as $133.9 million in stock-compensation expenses." The predicted earnings had been closer to 5 cents a share, AP noted. But Zynga's version of Draw Something is doing extremely well, surpassing the Angry Birds as the top-selling iPhone app earlier this month. What with Amazon's $13 billion earning report also announced Thursday, the tech industry is looking mighty triumphant right now, bubble or no.
This article is from the archive of our partner The Wire.
We want to hear what you think about this article. Submit a letter to the editor or write to firstname.lastname@example.org.