Roblox stock tanks 20% on a widened Q2 loss

Shares of Roblox Corp (NYSE: RBLX) are being punished this morning after the game developer said its loss widened in the fiscal second quarter.

Roblox stock down on a decline in ABPDAU

On the plus side, the California-based company ended the quarter with 65.5 million daily active users on average – up 25% on a year-over-year basis.

Hours engaged also jumped 24% to 14 billion. Michael Guthrie – the Chief Financial Officer of Roblox said today in the earnings release:

Nonetheless, the New York listed firm saw a 3.0% annualised decline in its average booking per daily active user in Q2. Roblox stock has now lost nearly 35% in less than a month.

Key takeaways from Roblox’s Q2 earnings report

• Lost $283 million versus the year-ago $176 million
• Per-share loss also expanded from 30 cents to 46 cents
• Bookings climbed 22% year-on-year to $780.7 million
• Consensus was 44 cents loss and $787.4 million bookings

Roblox also revealed a 15% annualised growth in its quarterly revenue on Wednesday. According to its CEO David Baszucki:

The quarterly update arrives only days after Roblox launched in beta on Meta Platform’s Quest virtual reality headsets. Wall Street currently has a consensus “hold” rating on Roblox stock.