Updated from 8:52 a.m. to include thoughts from Sterne Agee analyst.

NEW YORK (TheStreet) -- Zynga's (ZNGA) turnaround is taking longer than the company initially said it would, as the online games maker expands into sports and running games and hopes to capture the success it had in its early days.

San Francisco-based Zynga broke even on an adjusted basis in its second quarter, as revenue fell to $153.2 million from $230.7 million a year earlier. The company noted it generated $14 million in adjusted EBITDA during the quarter, as bookings rose sequentially to $175 million.

As of the end of June 30, Zynga had $1.149 billion in cash and cash equivalents, down from $1.541 billion as of Dec. 31, 2013.

Analysts surveyed by Thomson Reuters were expecting break-even earnings from Zynga on $191 million in revenue.

Shares were down in early trading on Friday, down 2.4% to $2.85.

"While our quarterly financial results were in line with our guidance range, we aspire to do better and improve execution across our business. Inside Zynga, we recognize that our products have the potential to live for multiple years and with nurturing, refinement and investment, they can grow and scale. We are purposefully competing, and while we would like to be further along, we believe we are making the right decisions to grow our business and unlock long term shareholder value," said CEO Don Mattrick in a press release.

Zynga lowered 2014 guidance, as it pushed out delivery of some of its games to 2015. It now expects bookings between $695 million and $725 million, below the prior forecast of $770 million to $810 million. For the third quarter, Zynga expects revenue of between $160 million and $170 million and earnings between break even and 1 cent a share.

Zynga, which has had a rough time since its initial public offering, due in large part to its heavy reliance on Facebook (FB), noted that monthly active users (MAUs) fell to 130 million, down from 187 million in the year-ago quarter but up from 123 million in the first quarter. Perhaps the company's most important metric, monthly unique payers (MUPs), came in at 1.7 million, up from 1.4 million in the first quarter of the year but down from 1.9 million in the year-ago quarter.

The company also announced it would be entering the sports category, with a game from the NFL, titled "NFL Showdown," as well as signing an exclusive deal with Tiger Woods. "NFL Showdown" is currently available in select markets and will be available everywhere before the start of the NFL season, Chief Operating Officer Clive Downie said in an interview. The Tiger Woods game, which will be available in 2015, was made because "Tiger transcended the sport, he's a global icon," Downie said. "When we think about who we want to partner with, we have to transcend not just the core of the sport, but appeal to secondary and tertiary fans who are not participating right now."

Zynga also announced it would be entering into a deal with Warner Bros. Interactive Entertainment to license the Looney Tunes brand for a new Runners game, which is expected to launch before the holiday season.

Following the earnings and the lowered guidance, analysts were largely negative on Zynga shares. Here's what a few of them had to say: 

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