Zynga reported results Wednesday that beat estimates and announced plans to restructure. About 18 percent of its global workforce will be laid off for planned savings of $100 million.
The social gaming company reported it had a first-quarter loss of 1 cent per share on bookings revenue of $167 million. Wall Street had expected a loss of 2 cents per share on $148 million in bookings revenue, according to consensus estimates from Thomson Reuters.
Shares of Zynga were up 6 percent in extended-trading hours.
The layoffs will affect about 364 jobs.
The company said the number of daily active users was down from a year earlier, but up from the fourth quarter. It also announced second-quarter guidance that was in line with analysts' expectations for a loss of 2 cents.
"Over the years we've seen that tighter, more nimble teams can drive faster innovation and deliver more player value," said CEO Mark Pincus in a release.
"This was a hard but necessary decision and I believe this plan puts us in the best long-term position for success."
The San Francisco-based company said it expects to launch between six and eight mobile games this year, "with a continued investment in our future pipeline for 2016 and beyond."