Gaming company Roblox Corp RBLX reported third-quarter financial results after market close Monday. Shares are surging in reaction to the earnings. Here are the key highlights for investors to know.
What Happened: Roblox reported revenue of $509.3 million, up 102% year-over-year. Bookings in the third quarter were $637.8 million, up 28% year-over-year.
Roblox had 47.3 million daily active users in the third quarter, up 31% year-over-year.
The company reported 11.2 billion hours engaged by users in the third quarter, up 28% year-over-year.
“We’re very pleased that during the third quarter, people of all ages from across the globe chose to spend over 11 billion hours on Roblox,” Roblox CEO David Baszucki said.
Notable events in the third quarter were:
• Launch Parties for artists.
• A virtual concert for KSI had 17 million visits.
• Twenty One Pilots had 14 million users acquire virtual merchandise during a concert.
• Held “Vans World” event with the VF Corp VFC-owned shoe brand. Vans World had more than 40 million visits in September.
• Partnered with Netflix Inc NFLX to premiere the first episode of the new season of “Bakugan,” which had more than 2.5 million unique users view the episode in the virtual world.
What’s Next: In late October, Roblox had a platform-wide outage that shut the game down for three days. The company said the 70 hours were difficult for Roblox and its community.
Daily active users were 50.5 million, up 43% year-over-year in the month of October prior to the outage. Hours of engagement in October were 3.2 billion, up 41% year-over-year.
The company estimates October bookings between $177 million and $179 million, up 30% to 34% year-over-year. Roblox estimates lost bookings during the platform outage at $25 million.
“Based on our October results, we appear to be having a great start to the last quarter of the year,” Roblox CFO Michael Guthrie said.
Roblox will host an Investor Day on Nov. 16.
RBLX Price Action: Monday at publication, Roblox shares were up 28.90% to $99.25 in after-hours trading, nearing an all-time high of $103.86 seen in June.
Image: Courtesy Roblox
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