Zynga to report net loss, take charge
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NEW YORK Zynga (ZNGA) expects a loss for the third quarter and says its preliminary results reflect weak demand for some games. It's also taking a charge related to its acquisition of OMGPop, a mobile game maker.
The San Francisco-based online game company said Thursday that it sees a net loss of 12 to 14 cents per share. Excluding one-time items the company expects to break even or post a loss of 1 cent per share.
Zynga also forecast revenue of $300 million to $305 million.
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Analysts expect breakeven earnings on revenue of $286.7 million, according to FactSet.
Zynga will take a charge of $85 million to $95 million on its OMGPop acquisition, the company behind "Draw Something."
Zynga shares tumbled 15 percent in after-hours trading.
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