Maker of FarmVille, Words With Friends posts loss - 13 WTHR Indianapolis

Battered shares of Zynga Inc. soared in after-hours trading. The social gaming company posted stronger-than-expected revenue for the third quarter and revealed plans to enter the gambling business.

As expected, Zynga booked a loss in the third quarter due largely to a charge marking down the value of mobile game company OMGPop, acquired in March for $183 million.

The company behind "FarmVille" and "Words With Friends" lost $52.7 million, or 7 cents per share, in the July-September period. That's down from earnings of $12.5 million - break-even on a per-share basis - from a year earlier, when it was still privately held.

On an adjusted per-share basis Zynga broke even in the most recent quarter, matching analysts' expectations.

Revenue grew 3 percent to $316.6 million, stronger than expected.

Zynga also signed a deal to offer online poker and casino games, played with real money, in the U.K. It plans to launch those games in the first half of 2013.

The results came a day after Zynga announced that it will lay off workers for the first time. The company is cutting about 150 jobs, or about 5 percent of its workforce of 3,200. It's also closing studios and killing off some games to cut costs.

The shares were up nearly 14 percent in after-hours trading.

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