HomeTechnologyRoblox Misses Quarterly Earnings Estimates

Roblox Misses Quarterly Earnings Estimates

Roblox shares plunged by 10% during premarket trading on Wednesday after the company reported second-quarter results that missed analysts’ expectations.

The video game publisher’s revenue for the second quarter was $781 million, falling short of analysts’ estimates of $785 million. The company reported a loss per share of 46 cents, lower than Wall Streets’ estimates of a 45 cent loss per share.

Sales on a year-over-year basis rose by 22%, with the company reporting a revenue of $639.9 million a year ago. The company’s earnings come from its virtual currency called Robux, which is used to purchase premium in-game features. Roblox reported 65.5 million daily active users on average, up 25% from the previous year.

While historically targeted at younger children, Roblox is working to expand its appeal to other age groups. The company announced that eligible creators on its platform will be enabled to build games featuring mature content.

Delta Struggling With Flight Cancellations Following Tech Outage

Delta Air Lines has continued to struggle with flight cancellations following last week's global cyber outage. This came after a software update by global...

Dolce & Gabbana Seeking New Capital Investment

Dolce & Gabbana CEO Alfonso Dolce confirmed that the fashion house is open to seeking new investors as a means of raising capital. This...

Former Nintendo President Claims Video Game Industry Set to Grow

Former Nintendo of America president and COO Reggie Fils-Aimé insisted that the video games industry is set to grow after suffering years of decline....