Jamdat Mobile Inc. fell back to earth Tuesday as its stock fell more than 30 percent following a disappointing quarter.
In the first quarterly statement since its September initial public offering, the Los Angeles-based mobile gaming company reported a net profit of $8,000-or nil per share-on revenues of $9.5 million. Jamdat shares responded by falling from $32.35 to $22.15 in Tuesday morning trading.
In the report, the game publisher forecast revenue of $10.6 million and earnings of 1 cent per share for the current quarter.
Jamdat raised nearly $90 million in its IPO six weeks ago, then watched as its stock soared 41 percent in its first day of trading on the Nasdaq exchange. Since then it had climbed steadily until Tuesday’s tumble.
The offering was seen as an unqualified success, fueling optimism in the mobile gaming segment. Analysts said that optimism may have led to unrealistically high expectations for Jamdat, the first U.S. exclusively mobile gaming company to go public.
