Zynga's (NASDAQ: ZNGA) newly appointed CEO Don Mattrick appears to have a major fight on his hands following news the social gaming giant has lost almost 40 percent of its monthly player base across the course of the last year.

The firm's latest financials have revealed that revenue is falling at the company, down 31 percent year on year to $231 million for the three months ended 30 June.

More worrying, however, is the revelation that Zynga's mass of monthly active users has fallen to 187 million – down from the 306 million it recorded during the same period in 2012.

Indeed, that represents the lowest number of monthly active users Zynga has recorded in a June quarter, also down on the June 2011 figure of 228 million.

Daily drop off

As you might expect, daily active users are also on the wane, down from 72 million during the same period in 2012 to 39 million today. That's a figure that's also below the 59 million daily active users Zynga had on board in June 2011.

The one piece of good news is that losses are down. While Zynga still recorded a net loss of $16 million for the quarter, that's less than the $22.8 million it lost during the same period in 2012.

"The next few years will be a time of phenomenal growth in our space and Zynga has incredible assets to take advantage of the market opportunity," said CEO Mattrick.

"To do that, we need to get back to basics and take a longer term view on our products and business, develop more efficient processes and tighten up execution all across the company. We have a lot of hard work in front of us and as we reset, we expect to see more volatility in our business than we would like over the next two to four quarters."

Zynga has also revealed its canned plans to obtain an online gambling license in the US, abandoning its efforts to make a move on the sector.

[source: Zynga]