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The Markets
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The Markets
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Roblox Corp's shares plunge 19% after it misses quarterly earnings estimates

The company reported net bookings of US$639.9mln compared to analysts' expectations of US$644.4mln, and loss per share at 30c compared to 21c expected

Roblox Corp (NYSE:RBLX)'s shares fell 6% Wednesday as the online gaming platform and game creation system reported quarterly earnings that missed analysts' estimates.

The stock has shed more than 50% in value so far this year.

The California-based company known for its games 'Jailbreak' and 'MeepCity', posted net bookings of US$639.9mln in the second quarter, with analysts expecting US$644.4mln, and la oss per share at 30c compared to 21c expected.

The company said its second-quarter 2022 revenue rose 30% year over year to US$591.2mln, though bookings declined 4% year over year, in another sign of a slowdown plaguing the games industry following a pandemic-fuelled boom.

As part of its revenue-generating strategy, the company sells a virtual currency called Robux, which players can use to customise their avatars and get other premium features in the game.

The company said bookings for July were up between 8% and 10% year over year, while Daily Active Users (DAUs) rose 21%, though average bookings per DAU was US$12.25, down 21% year over year.

"We are driving record levels of users and engagement globally as we execute on our innovation roadmap and broaden the appeal of Roblox across geographies and age groups," said David Baszucki, chief executive.

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