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King Digital Entertainment, the makers of mobile game Candy Crush Saga, has cut their 2014 forecast following the company’s poor performance at the New York Stock Exchange.
The company’s shares fell 22 percent to close at USD 18.20 on NYSE.
King reported a quarterly revenue of USD 594 million, compared with USD 456 million in the same period in 2013.
King Digital Entertainment achieved lower than expected results in the second-quarter. According to the company, it has previously estimated to make a turnover of USD 2.55 billion to USD 2.65 billion from the items bought within its games but it has now lowered it to USD 2.25 billion to USD 2.35 billion.
The bookings from latest gaming sensation ‘Candy Crush Saga’ slumped more than expected, reported King.
Candy Crush is a puzzle game that is largely played through social networking site Facebook and also on smartphones. It was released in 2012.
Company insiders said that the poor returns from the game prompted it to bring a downbeat forecast for the current quarter and the complete year.
Meanwhile, King’s financial officer Hope Cochran revealed that the company is mulling to launch a sister title for Candy Crush.
“We expect Candy Crush will decline, but have a very strong tail and a long tail. We will be launching the Candy Crush sister title in the fourth quarter. It will give more longevity to that title,” Hope Cochran said in an interview.
The investors are, however, concerned over the gloomy performance of the company’s games. According to them, unless King Digital starts delivering some long-lasting hits, there is huge possibility that it will meet the same fate as the other game makers including Angry Birds and Farmville.