It's kind of a good news/bad news situation over at video game maker Zynga these days.
Good new first. The maker of "Farmville" and "Words with Friends" has its old CEO back at the helm and the company is not hemorrhaging money at the critical rate it was a year ago.
Zynga had a first-quarter loss of $46.5 million, smaller than last year’s $61.2 million loss, and less than Wall Street’s forecast. Revenue was $183 million.
Oh, cool. That's great news.
The San Francisco-based video-game maker said Wednesday it will slash 18 percent of its workforce by the fourth quarter as it looks to cut $100 million in costs.
The carnage is expected to claim 364 employees.
Right, there was bad news. Yikes.
When it was announced in early April that Mark Pincus would retake the helm as Zynga's CEO, many were excited that the man who founded the company would be zealous in trying to save it. Apparently that plan entails something of a "Daddy's home, you're fired" approach.
It will be interesting to see if this is a sign that Pincus has brought his reputedly intense and decisive personality back to Zynga, or merely a correction to what went down during his "hiatus."
For now, shares of Zynga are jumping on that post-layoff trampoline.