Roblox Corp. (NYSE:RBLX) stock slid after it reported fiscal third-quarter results on Thursday.
The company reported quarterly bookings growth of 70% year-on-year to $1.92 billion, topping the analyst consensus estimate of $1.65 billion.
The video game developer reported an EPS loss of 37 cents, which beat the analyst consensus estimate of a 48-cent loss.
Also Read: Roblox Prepares Massive Age Verification Rollout That Parents Need To Know About
Revenue of the American video game developer grew by 48% Y/Y to $1.36 billion.
User Engagement Surges Across Metrics
Average Daily Active Users (DAUs) were 151.5 million, up 70% Y/Y. Hours Engaged were 39.6 billion, up 91% Y/Y.
The average monthly number of unique payers was 35.8 million, up 88% Y/Y. The Average Bookings per DAU was $12.68, marking a flat growth Y/Y.
For the quarter, Roblox generated $546.2 million in operating cash flow, a significant increase from $247.4 million in the same quarter a year earlier. Free cash flow for the quarter was $442.6 million, up from $218.0 million Y/Y.
Net loss for the quarter was $255.6 million, compared to a loss of $239.3 million in the same period last year.
CEO Highlights Platform Strength and Safety Initiatives
“Our third-quarter results demonstrate the tremendous progress we’ve made toward our goal of capturing 10% of the global gaming market. Our platform and creator ecosystem are healthier than ever before, driven by broad-based strength, new viral hits, and our strategic investments in creator economics, platform performance, discovery, and the virtual economy,” said David Baszucki, founder and CEO of Roblox.
“We are on track to expand age estimation to all Roblox users who access our communication features by early next year. We believe this initiative will establish a best in class standard for communication safety on social media and communications platforms.”
Outlook
Roblox expects fourth-quarter bookings of $2.000 billion-$2,050 billion (versus the analyst consensus estimate of $1.795 billion).
The company raised the fiscal 2025 bookings outlook to $6.566 billion-$6.616 billion (up from the prior forecast of $5.870 billion-$5.970 billion) compared to the analyst consensus estimate of $6.011 billion.
Price Action: RBLX stock was trading lower by 10.37% to $119.88 at last check Thursday.
Read Next:
Photo by Alex Photo Stock via Shutterstock
