eastunder
2 months ago
Roblox Reports Fourth Quarter and Full Year 2023 Financial Results
Strong year over year growth in Daily Active Users, Hours Engaged, Revenue, and Bookings
February 07, 2024 08:00 AM Eastern Standard Time
SAN MATEO, Calif.--(BUSINESS WIRE)--Roblox Corporation (NYSE: RBLX), a global platform bringing millions of people together through shared experiences, released its fourth quarter and full year 2023 financial and operational results and issued its full year and first quarter 2024 guidance today. Separately, Roblox posted a letter to shareholders and supplemental materials on the Roblox investor relations website at ir.roblox.com.
“We ended the year with our strongest rate of quarterly bookings growth in two years and delivered our first quarter of $1 billion in bookings. We are scaling our operations efficiently, thereby improving our margins and cash flow, and we expect those trends to continue in 2024”
Fourth Quarter 2023 Financial, Operational, and Liquidity Highlights
Revenue was $749.9 million, up 30% year-over-year.
Bookings were $1,126.8 million, up 25% year-over-year.
Net loss attributable to common stockholders was $323.7 million.
Net cash provided by operating activities was $143.3 million, up 20% year-over-year.
Average Daily Active Users (“DAUs”) were 71.5 million, up 22% year-over-year.
Average monthly unique payers were 15.9 million, up 18% year-over-year, and average bookings per monthly unique payer was $23.65, up 6% year-over-year.
Hours engaged were 15.5 billion, up 21% year-over-year.
Average bookings per DAU was $15.75, up 3% year-over-year.
Net liquidity1 was $2.2 billion; Covenant Adjusted EBITDA2 was $259.6 million, up 42% year-over-year.
Full Year 2023 Financial, Operational, and Liquidity Highlights
Revenue was $2,799.3 million, up 26% year-over-year.
Bookings were $3,520.8 million, up 23% year-over-year.
Net loss attributable to common stockholders was $1,151.9 million.
Net cash provided by operating activities was $458.2 million, up 24% year-over-year.
DAUs were 68.4 million, up 22% year-over-year.
Average monthly unique payers were 14.5 million, up 17% year-over-year, and average bookings per monthly unique payer was $81.05, up 4% year-over-year.
Hours engaged were 60.0 billion, up 22% year-over-year.
Average bookings per DAU was $51.50, flat year-over-year.
Covenant Adjusted EBITDA2 was $431.7 million, up 21% year-over-year.
“We finished 2023 with another strong quarter of growth as we continue to drive innovation and new experiences across the Roblox platform. We enter 2024 with even more conviction of being able to achieve our long-term goal of attracting over 1 billion daily active users with optimism and civility. We continue to benefit from the strong network effects in content, social connection, and communication, as well as our investments in immersive experiences, advertising, and AI,” said David Baszucki, founder and CEO of Roblox.
“We ended the year with our strongest rate of quarterly bookings growth in two years and delivered our first quarter of $1 billion in bookings. We are scaling our operations efficiently, thereby improving our margins and cash flow, and we expect those trends to continue in 2024,” said Michael Guthrie, chief financial officer of Roblox.
Forward Looking Guidance
Roblox provides its initial full year and first quarter 2024 GAAP and non-GAAP guidance:
Full Year 2024 Guidance
Revenue between $3,300 million and $3,400 million.
Bookings between $4,140 million and $4,280 million.
Consolidated net loss between $(1,400) million and $(1,365) million.
Adjusted EBITDA between $(150) million and $(115) million (A), which includes:
Increase in deferred revenue between $852 million and $892 million.
Increase in deferred cost of revenue between $(172) million and $(177) million.
The total of these changes in deferrals between $680 million and $715 million. (B)
(A) + (B) = Covenant Adjusted EBITDA2
First Quarter 2024 Guidance
Revenue between $755 million and $780 million.
Bookings between $910 million and $940 million.
Consolidated net loss between $(347) million and $(342) million.
Adjusted EBITDA between $(55) million and $(50) million (A), which includes:
Increase in deferred revenue between $158 million and $163 million.
Increase in deferred cost of revenue between $(33) million and $(35) million.
The total of these changes in deferrals between $125 million and $128 million. (B)
(A) + (B) = Covenant Adjusted EBITDA2(1)
Net liquidity represents cash and cash equivalents, short-term investments, and long-term investments, less the carrying value of long-term debt, net.(2)
Covenant Adjusted EBITDA is used in certain covenant calculations specified in the indenture governing our senior notes due 2030 and is not calculated in accordance with GAAP and may not conform to the calculation of Adjusted EBITDA by other companies. Covenant Adjusted EBITDA should not be considered as a substitute for a measure of our financial performance or other liquidity measures prepared in accordance with GAAP and is also not indicative of income or loss calculated in accordance with GAAP.
eastunder
2 months ago
Roblox forecasts strong 2024 bookings; in-game spending gets holiday boost
Harshita Mary Varghese
Wed, February 7, 2024 at 6:07 AM MST·2 min read
https://finance.yahoo.com/news/roblox-forecasts-strong-2024-bookings-130730220.html
(Reuters) - Gaming platform Roblox forecast annual bookings above estimates on Wednesday after it crossed $1 billion in quarterly bookings for the first time on higher in-game spending during the holiday season, sending its shares up 15% before the bell.
In a positive sign for the gaming industry, the global video game market is anticipated to grow 2.8% this year, as it expects robust sales of Microsoft's Xbox and Sony's PlayStation 5 consoles, according to research firm NewZoo.
Roblox forecast annual bookings, generated from in-game purchases of virtual currency "Robux", between $4.14 billion and $4.28 billion, above the estimate of $4.03 billion, according to LSEG data.
Its first-quarter bookings forecast was also above expectations.
Net bookings for the fourth quarter came in at $1.13 billion, hitting a new record for the company and surpassing the estimate of $1.08 billion.
The company has been seeing an uptick in spending on its online gaming platform during the holiday quarter, when players have more time because schools and colleges are closed.
Roblox said the growth "continue to be heavily influenced by older users" above the age of 13.
"A slow and steady improvement in the core technology has allowed our developer communities to build better stuff... (which has) naturally attracted an older audience," Roblox CFO, Michael Guthrie said, underscoring Roblox's attempt at diversifying and aging up its player base.
Roblox which is popular for games such as "Brookhaven", "Adopt Me!" and "Blade Ball", has partnered with a number of brands including Adidas, Lamborghini and L'Oreal to engage fans in its 3D world.
The company reported adjusted EBITDA, a profitability metric looked at by investors, of $259.6 million, beating analysts' expectation of $191.2 million.
Average daily active users rose 22%, to 71.5 million in the fourth quarter.
DiscoverGold
4 months ago
Analyst Takes Bullish Stance on Roblox Corp (RBLX) Stock
By: Schaeffer's Investment Research | December 13, 2023
• Wells Fargo initiated coverage of RBLX with an "overweight" rating
• The stock is looking to open near levels not seen since July
Wells Fargo believes the potential revenue from advertising on Roblox Corp (NYSE:RBLX) is underappreciated by the market. The Wall Street analyst initiated bullish coverage of the video game concern with an "overweight" rating and a $49 price target.
In response, RBLX is up 2.3% premarket, looking to open at $43 area for the first time since July. This quarter alone, the equity has tacked on more than 45%, helping it to a 47.7% year-to-date lead.
Coming into today, the brokerage bunch was mostly bullish, but there's room for pessimism to unwind. This is because eight of the 21 covering brokerages rate Roblox stock a "hold" or "strong sell." What's more, the 12-month consensus target price of $41.88 is a slim discount to last night's close, indicating more price-target hikes could come around.
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DiscoverGold
4 months ago
Roblox Corporation (RBLX) Failed to Disclose the Company’s Bookings and Revenue Growth was Unsustainable
By: Robbins | December 11, 2023
A shareholder filed a class action lawsuit on behalf of persons and entities that purchased or otherwise acquired Roblox Corporation (NYSE: RBLX) Class A common stock between March 10, 2021 and February 15, 2022. Roblox operates a video game platform that provides developers with tools to create games that are hosted on the Company’s servers.
According to the complaint, during the class period, defendants failed to disclose that: (1) the Roblox platform had insufficient content controls and lacked user spending restrictions; (2) these inadequate controls enabled younger Roblox users to play games with inappropriate content and make excessive, unauthorized Robux purchases; (3) a material portion of Roblox’s bookings and revenue growth was due to these excessive, unauthorized Robux purchases; (4) fourth quarter 2021 and 2022 bookings would be negatively impacted by Roblox’s planned rollout of enhanced parental controls; and (5) based on the foregoing, the Company’s bookings and revenue growth was unsustainable throughout the class period.
The truth was revealed on February 15, 2022, when Roblox issued a press release disclosing poor Q4 2021 results. Roblox reported Q4 2021 bookings at $770.1 million, well short of the $786.8 million analyst consensus target. Key performance indicators on audience size and engagement both showed sequential and year-over-year declines. Roblox’s slowing growth trend continued into 2022 as January bookings was estimated between $220 million and $223 million, a range that analysts called “very weak.” In reaction to these disclosures, the price of Roblox stock plummeted by 26.5% to close at $53.87 per share on February 16, 2022.
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DiscoverGold
5 months ago
Roblox Co. (NYSE:RBLX) CAO Sells $164,966.50 in Stock
By: MarketBeat | November 25, 2023
• Roblox Co. (NYSE:RBLX) CAO Amy Marie Rawlings sold 4,495 shares of Roblox stock in a transaction dated Tuesday, November 21st. The stock was sold at an average price of $36.70, for a total value of $164,966.50. Following the sale, the chief accounting officer now owns 97,753 shares of the company's stock, valued at approximately $3,587,535.10. The transaction was disclosed in a document filed with the SEC, which is available at this link...
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DiscoverGold
5 months ago
Roblox Corp (RBLX) Stock Soars as Bookings Beat Estimates
By: Schaeffer's Investment Research | November 8, 2023
• Roblox stock has completely erased its August post-earnings bear gap
• Options traders are blasting RBLX in response
Roblox Corp (NYSE:RBLX) stock is up 19.4% to trade at $41.88 today, near the top of the New York Stock Exchange (NYSE) and on track for its best single-session pop since Feb. 15. The online gaming company beat booking estimates -- up 20% from a year ago -- while also reporting narrower-than-expected third-quarter losses per share and strong revenue.
Today's breakout has the stock completely recovering its August post-earnings losses and reclaiming several long-term moving averages, including its 200-day trendline. The stock has a history of outsized moves after earnings; including a 26.4% bull gap on Feb. 15, and a 21% drawdown a year ago. Since the start of the year, the equity is up 47%.
Price-target hikes could keep the wind at the shares' back. The consensus 12-month price target of $37.96 is a 9% discount from the stock's current perch, so adjustments could be imminent.
Naturally, RBLX is being flooded with activity in the options pits. So far, 110,000 calls and 49,000 puts have been exchanged, which is already 2.7 times the average intraday options volume. The weekly 11/10 42-strike call is the most active contract, where new positions are being opened.
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DiscoverGold
7 months ago
Renaissance Technologies Sells 1,369,900 Shares of Roblox Co. (RBLX)
By: MarketBeat | September 9, 2023
• Renaissance Technologies LLC reduced its position in shares of Roblox Co. (NYSE:RBLX) by 13.5% during the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm owned 8,781,082 shares of the company's stock after selling 1,369,900 shares during the quarter. Roblox comprises about 0.5% of Renaissance Technologies LLC's portfolio, making the stock its 21st biggest position. Renaissance Technologies LLC owned 1.57% of Roblox worth $394,973,000 at the end of the most recent reporting period...
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DiscoverGold
7 months ago
Roblox plans PlayStation debut, new world-building AI tools
By: Investing.com | September 8, 2023
NEW YORK (Reuters) - Gaming company Roblox plans to launch its immersive digital worlds platform on Sony (NYSE:SONY)'s PlayStation devices in October, giving it access to the hundreds of millions of people who use the world's most popular gaming consoles.
Roblox will also make its app fully available on Meta (NASDAQ:META)'s Quest mixed reality devices this month after rolling out a test version in July. That version was downloaded more than a million times within five days, the company said in a blog post.
The expansion is part of a plan to make Roblox available "anywhere users are trying to use it," including mobile, desktop and augmented and virtual reality (AR/VR) devices, Roblox Chief Product Officer Manuel Bronstein told Reuters ahead of the company's annual developer conference this week.
"I wonder if we should be on every TV," Bronstein said.
Roblox, with 66 million daily users, most of them teenagers, is one of the most popular gaming services for children and watched closely by tech giants like Meta as they try to entice the next generation of users.
Meta's similar "metaverse" service Horizon, where users appearing as avatars can gather in virtual spaces, has struggled to gain similar momentum. It had fewer than 200,000 monthly users as of last year, according to a Wall Street Journal report.
Horizon is currently available only in VR, although Meta said in February that it was aiming to release web and mobile versions soon, without identifying a date.
At its conference, Roblox announced plans to roll out an AI-powered world-building chatbot by the end of the year.
Developers will be able to use the chatbot - which closely resembles a tool previewed by Meta CEO Mark Zuckerberg last year - to generate virtual objects and scenes on command, without coding, according to a demo shown to Reuters.
Meta's technology, which it has not yet released, used voice commands rather than written chats.
Another new Roblox tool due later this year would make it possible for mobile or desktop users to conduct voice calls with Roblox friends appearing as avatars.
The technology, called Connect, uses the device's camera to capture a participant's facial expressions and body movements and then displays that via the person's avatar.
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Monksdream
8 months ago
From that awful Cathie Wood
Roblox (RBLX)
icon-fall
21%
Shares of Roblox traded down ~21% on Wednesday after the company reported6 second-quarter earnings with lower-than-expected headline numbers that masked excellent underlying growth dynamics. The year-over-year growth in Roblox bookings, total hours, and daily active users was robust: 22%, 24%, and 26%, respectively. While CEO David Baszucki suggested during the earnings call that developer exchange fees this year will approach $800 million, more than analysts had expected, we believe that he was rounding existing guidance, not changing formal guidance. Thanks to its growing audience of older gamers, impressive product velocity, expertise in generative AI, and growing advertiser base, Roblox seems poised for continued strong growth. Roblox provides a creator-first digital entertainment platform and a 3D engine, both of which allow third-party developers around the world to create games and experiences for users.
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realfast95
5 months ago
TRADER99
7 months ago
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