Shares of Roblox Corporation soared in premarket trading Wednesday after the company’s fourth-quarter bookings surpassed expectations.
The video game developer posted bookings of $899.4 million, topping Street expectations of $871.2 million, according to FactSet. Bookings are a key metric for video game companies that analysts view as a leading indicator of future revenue.
Roblox also posted a loss of $0.48 per share, which narrowly beat expectations of a $0.50 per share loss.
Shares of Roblox rocketed more than 17% higher to $42.
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“2022 was a year of innovation and invention for Roblox,” CEO David Baszucki said in a statement. “With 65 million daily active users in January, we are driving towards our vision to reimagine the way people come together by enabling deeper forms of expression, communication and immersion.”
Additionally, the company previously said that over half its user base is now over the age of 13, a key factor in increasing bookings per user, according to reports.
“Bookings accelerated meaningfully in December and January, with year-over-year growth exceeding 20% in both months. Growth was strong across all geographies and age groups with particular strength among users above 17 years old,” chief financial officer Michael Guthrie said.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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