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Rafael Henrique | Light rocket | Getty Images
Shares of Roblox rose 17% in premarket trading on Wednesday after the company posted third-quarter results that beat both the top and bottom lines and showed strong user growth.
Here’s how the company did it:
- Loss per share: 45 cents loss versus 51 cents loss expected by LSEG, formerly known as Refinitiv
- Turnover (bookings): $839 million versus $830 million expected by LSEG
The revenue figure is what Roblox calls bookings, a category that includes revenue recognized during the quarter and deferred revenue. Bookings increased by 20% year on year. Roblox reported $702 million in bookings in last year’s quarter.
The company generates revenue from the sale of its virtual currency called Robux, which players use to dress up their avatars and purchase other premium in-game features.
Roblox reported 70.2 million average daily active users, up 20% from a year earlier. Users spent more than 16 billion hours on Roblox in the second quarter, up 20% year over year.
The company reported a net loss of $277.2 million for the quarter ended September 30. Roblox reported a net loss of $297.8 million for the same period in 2022.
In a letter to shareholders on Wednesday, the company said revenue growth was particularly strong in East Asia and Europe, and that Roblox slowed spending growth in key expense categories. The company said it will also provide guidance in fiscal year 2024.
The company said average bookings per daily active user were $11.96, stable year-over-year.
