Zynga Reports Q1 Loss of $61 Million

Social and mobile game maker Zynga reported a first-quarter loss of $61 million, compared to a $25 million loss from its previous quarter and a profit of $4 million the same period a year ago. Zynga also announced that its founder Mark Pincus, who had already stepped down as its chief executive officer, would leave his role as chief product officer, basically ending his executive duties at the firm. Pincus remains the chairman of the board.

"We have established a strong base for 2014 and believe we are pacing well for a year of growth," said Zynga chief executive Don Mattrick.

Zynga said it doesn't expect a return to profitability in the foreseeable future and projects a loss of between $65 million and $75 million in the next quarter.

In the first quarter, the company raked in $168 million in profits, a bit above what analysts had predicted – $164 million.

Zynga says that its mobile monthly active userbase grew 11 percent since the previously reported quarter, while its mobile daily active user base increased by around 10 percent. When rolling in figures from NaturalMotion (the mobile games maker it acquired earlier in the year for $527 million), its mobile monthly audience grew 45 percent compared with the previous quarter.

Overall, Zynga's monthly active users increased from 112 million during the fourth quarter to 123 million.

You can read about Pincus is stepping out of the executive spotlight by checking out this blog post.

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