Social casino helps Zynga post rare profit despite flat bookings and less players

Social gaming operator Zynga posted a rare profit in the third quarter of 2015 as its core social casino franchises continued to grease the company’s wheels.

Revenue in the three months ending Sept. 30 rose nearly 11% year-on-year to $195.7m, although this was down 2% from Q2. Gaming revenue fell 8% year-on-year to $151m while advertising revenue rose 18% to $45m.

Bookings – the in-app sale of virtual goods – were essentially flat both year-on-year and sequentially at $176m. On the plus side, mobile bookings grew 26% and now represent 69% of total bookings, three points higher than Q2’s share.

Despite the stagnant bookings, adjusted earnings were up six-fold to $12.4m while Zynga reported a $3m profit versus a $57m loss in the same period last year. The company attributed the profit turnaround to aggressive cost-cutting moves as well as a tax benefit associated with the recent purchase of Rising Tide Games.