The Irish division of online games developer Zynga made a massive pre-tax loss last year of $50.79 million (€37.4m).Accounts recently filed by Zynga Game Ireland Ltd, the firm recorded the loss despite revenues rising by 38.5% from $369.4 million to $511.6 million in the 12 months to the end of last December.
In 2011 Zynga Game Ireland recorded a pre-tax profit of $4.8 million, a negative swing of $55.5 million.
While the company slightly increased its operating profits to $5.29 million, impairments of investments and intangible assets totaled $56.4 million and caused the pre-tax loss.
However, it’s not all bad news for the Irish division, while it was only established in 2010 it accounted for 42% of the corporation’s worldwide revenues of $1.2 billion in 2012.
Zynga is still a leading provider of social gaming services; it has over 187 million monthly active users across a variety of platforms. However, this number is considerably lower than its peak of 306 million in 2012.
The company is best known for games such as Farmville, Zynga Poker, Mafia Wars and CityVille.