Roblox delivers $1 billion in record quarterly bookings
Roblox (RBLX) shares carry Wednesday gains into the closing bell after beating fourth-quarter earnings estimates and reporting record quarterly bookings. Yahoo Finance Live breaks down average user spending patterns as Roblox delivers the first quarter of bookings to exceed $1 billion.
For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.
Editor's note: This article was written by Luke Carberry Mogan.
Video Transcript
- --major averages in the green. Here's another name that was in the green, Roblox. Check out those shares popping, this after delivering its first quarter of $1 billion in bookings. Company also saw average daily active users jump 22% from a year ago. Gaming company, the kids love it, Julie. We know that. Bottom line, Q4 bookings, they beat. A record 71.5 million people logged in every day to play its games. And they monetize these players, by the way. Each player paid an average of $15.75 during the quarter to buy items in games. So that's cosmetics, costumes. And that metric also beat expectations.
JULIE HYMAN: I'm shaking my head because some of those dollars flowed out of my household--
- Do they?
JULIE HYMAN: --Josh Lipton.
- It's big in the house?
JULIE HYMAN: Do you know what the money is called on "Roblox?"
- Give it to me.
JULIE HYMAN: Robux.
- Makes sense.
JULIE HYMAN: Robux. My kids, that's what they want for Hanukkah this year.
- Do they check with you, what they're spending it on? Can I buy this battle ax, for example? Or I don't know.
JULIE HYMAN: No. Once it has left me and gone to them, the Robux is theirs to spend how they please. I have not checked in with them lately to see which "Roblox" game they like the best because there are lots and lots of different games on there. But what's interesting about the Roblox story as well is that there was this narrative for a while. There were questions around the sustainability of the appeal, right? The users were aging. Were they going to stick with "Roblox?" My kids have gone through several cycles of in and out of "Roblox," which is interesting. I don't know if they're emblematic of what we're seeing more broadly. But it is interesting here.
Something else that caught my eye, by the way, for Roblox, as we talk about this era of efficiency among tech companies is that they have not done any big layoffs there and in fact have said they're going to continue to hire. So that's something to consider.
- Makes it a little different than some of those other players, for sure.
JULIE HYMAN: Yes, yes, definitely.
