Zynga reveals profit hike at Irish division
Zynga has reported a significant year-on-year increase in profit at its Irish unit, despite cutting more than half of its staff at the business in 2015.
Pre-tax profit at the Irish arm amounted to just under $2.97m (€2.5m) in 2016, up almost six-fold on the previous 12-month period.
Revenue came in at $231m last year and although this represents a 10% decline on the $257m posted in 2015, it remains impressive after Zynga cut workforce in Ireland by 60% towards the end of 2015.
The reduction formed part of a wider cost-cutting plan, which overall lead to the company trimming its global workforce by 18%.
In a director’s report seen by Ireland’s Independent newspaper, Zynga said: “There is a decline in revenues driven by a global decrease in sales year over year mainly due to a decrease in user-pay bookings as well as revenues from certain games decreasing.“Revenues from many of the company’s games tend to decline over time after reaching a peak of popularity and player usage.”
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