Core Viewpoint - Roblox aims to capture 10% of the gaming market in consumer spending, citing its low-cost entertainment model and historical resilience during economic downturns [1][4]. Financial Performance - The company's revenue increased by 29% year over year, reaching approximately $1.035 billion, while bookings rose by 31% to $1.207 billion [3]. - Average daily active users grew by 26% to 97.8 million, and average monthly unique payers increased by 29% to 20.2 million [3]. Market Position and Strategy - Roblox currently holds 3% of the gaming market and plans to expand by diversifying its platform to support various genres, including sports, racing, role-playing, and battle games [4]. - The growth in bookings is no longer concentrated among a few popular experiences; instead, experiences ranked No. 11 to No. 50 have seen growth accelerate from 5% to over 100% [5].

For the quarter ended March 2025, Roblox (RBLX) reported revenue of $1.21 billion, up 30.6% over the same period last year. EPS came in at -$0.32, compared to -$0.43 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $1.15 billion, representing a surprise of +5.35%. The company delivered an EPS surprise of +21.95%, with the consensus EPS estimate being -$0.41.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street exp ...

Group 1 - Roblox reported a quarterly loss of $0.32 per share, better than the Zacks Consensus Estimate of a loss of $0.41, and an improvement from a loss of $0.43 per share a year ago, representing an earnings surprise of 21.95% [1] - The company achieved revenues of $1.21 billion for the quarter ended March 2025, exceeding the Zacks Consensus Estimate by 5.35%, and up from $923.76 million in the same quarter last year [2] - Roblox has surpassed consensus EPS estimates in all four of the last quarters and has topped consensus revenue estimates three times during the same period [2] Group 2 - The stock has increased approximately 15.9% since the beginning of the year, contrasting with a decline of -5.3% in the S&P 500 [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The trend for estimate revisions for Roblox is currently favorable, leading to a Zacks Rank 2 (Buy) for the stock, indicating expected outperformance in the near future [6] Group 3 - The current consensus EPS estimate for the upcoming quarter is -$0.32 on revenues of $1.17 billion, and for the current fiscal year, it is -$1.47 on revenues of $5.29 billion [7] - The Gaming industry, to which Roblox belongs, is currently ranked in the top 37% of over 250 Zacks industries, suggesting a positive outlook for stocks within this sector [8] Group 4 - Flutter Entertainment, another company in the gaming industry, is expected to report quarterly earnings of $1.66 per share, reflecting a year-over-year change of +1560%, with revenues anticipated to be $3.7 billion, up 8.9% from the previous year [9][10]

Q1 2025 Supplemental Materials May 1, 2025 Forward-Looking Statements This presentation and the live webcast and Q&A session which will be held at 530 a.m. Pacific Time/830 a.m. Eastern Time on Thursday, May 1, 2025 contain "forward-looking statementsˮ within the meaning of the "safe harborˮ provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our vision to connect one billion users with optimism and civility, our vision to reach 10% of the g ...

Roblox (RBLX) Q1 2025 Earnings Call May 01, 2025 08:30 AM ET Company Participants Stefanie Notaney - Corporate CommunicationsDavid Baszucki - Founder & CEOMike Guthrie - CFOMatthew Cost - Executive Director, Equity ResearchClark Lampen - Managing DirectorCory Carpenter - Internet Equity ResearchShweta Khajuria - Managing Director Conference Call Participants Jason Bazinet - AnalystKen Gawrelski - Analyst Operator Good morning. My name is Kathleen, and welcome to the Roblox First Quarter twenty twenty five E ...

Financial Data and Key Metrics Changes - Q1 2025 revenue was $1,035 million, up 29% year on year, exceeding guidance of $990 million to $1,015 million [5] - Q1 bookings were $1,207 million, up 31% year on year, surpassing the high end of guidance which was $1,125 million to $1,150 million [5] - Q1 Daily Active Users (DAUs) reached 97.8 million, up 26% year on year [5] - Cash from operations was $443 million, up 86% year on year, exceeding guidance of $380 million [8] - Free cash flow in Q1 was $406 million, up 123%, also above guidance [8] - The company reported a strong balance sheet with $4.5 billion in gross cash and $3.5 billion in net cash [34] Business Line Data and Key Metrics Changes - Developer Exchange (DevEx) increased by 39% year on year to $281 million, representing 27% of revenue [11] - The company noted that the top 100 creators earned an average of $6.7 million over the last twelve months, up 35% year on year [16] Market Data and Key Metrics Changes - DAUs in the US and Canada grew by 22%, while APAC saw a 40% increase, Japan 48%, and India 77% year on year [6] - Engagement hours reached 21.7 billion, up 30% year on year, with significant growth in various regions [7] Company Strategy and Development Direction - The company aims to capture 10% of the gaming market by consumer spending, focusing on genre expansion and technological improvements [19] - Emphasis on AI-driven tools for operational efficiency and creator support, with plans for full 3D scene creation and interactive assets [25][81] - The company is enhancing its advertising capabilities through partnerships, including a collaboration with Google [22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's resilience during potential economic downturns, citing past performance during recessions [50] - The focus remains on innovation as a key driver for growth, with a belief that the platform can thrive even in challenging economic conditions [52] Other Important Information - The company is actively working on improving its search and discovery algorithms to enhance content visibility for creators [15] - The integration of differential pricing is still in early stages but shows promising results [42][44] Q&A Session Summary Question: What steps is the company taking to ensure continued growth from smaller developers? - The company is tracking various genres and believes that technological advancements will support growth across the platform [38] Question: What is the status of the differential pricing initiative? - The initiative is in its early stages, with positive early results, but it is too soon to determine its full impact [42][44] Question: How does the company view the potential impact of macroeconomic conditions on its business? - Management noted that the majority of users do not spend significant amounts, which may buffer against economic downturns [50] Question: What are the biggest opportunities for improving passive hourly monetization? - The focus is on genre expansion and increasing DAU, with ongoing efforts to optimize pricing and payment methods [60][63] Question: Can you discuss the Shopify partnership and its importance for e-commerce? - The Shopify integration is still in early phases, but the company sees significant potential for e-commerce growth on the platform [88][89]

User Metrics - Average Daily Active Users (DAUs) are defined as users who log in and visit the platform on a unique registered account on a given calendar day, with DAUs for a specified period being the average for that period[17]. - The accuracy of user metrics may be impacted by factors such as botting and unauthorized access, which can lead to overstatements of DAUs[19][16]. - Total hours engaged are calculated as the aggregate of user session lengths, which may vary across devices and platforms, and are tracked to measure user engagement[20][21]. - The company is exploring technology to obtain greater granularity in user demographic estimates, which may affect comparability of metrics over time[15]. Financial Metrics - Bookings represent sales activity in a given period, primarily from virtual currency sales, and are recorded in deferred revenue, recognized over the estimated lifetime of a paying user, which was 27 months as of March 31, 2025[23][24]. - Average Bookings per Daily Active User (ABPDAU) is calculated by dividing bookings in a given period by the DAUs for that period, providing insight into monetization across users[27]. - The average new monthly unique payers are defined as user accounts making their first payment during a given month, while returning monthly unique payers are those who have made payments in the current and prior months[29][30]. - The monthly repurchase rate is calculated as returning monthly unique payers in the current month divided by the sum of the prior month's new and returning monthly unique payers[31]. Debt and Interest Rates - As of March 31, 2025, a hypothetical 100 basis points increase in interest rates would have resulted in a decrease in the fair values of the company's debt securities by approximately $32.9 million[233]. - The company issued $1.0 billion aggregate principal amount of the 2030 Notes, with interest payable semiannually, and the entire principal amount due at maturity on May 1, 2030[235].

Exhibit 99.1 Roblox Reports First Quarter 2025 Financial Results Substantial year-over-year growth exceeds guidance across all key metrics SAN MATEO, Calif., May 1, 2025 - Roblox Corporation (NYSE: RBLX), a global platform bringing millions of people together through shared experiences, released its first quarter 2025 financial and operational results and issued its second quarter and updated full year 2025 guidance today. Separately, Roblox posted a letter to shareholders and supplemental materials on the ...

While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights. In its upcoming report, Roblox (RBLX) is predicted by Wall Street analysts to post quarterly loss of $0.41 per share, reflecting an increase of 4.7% compared to the same period last year. Revenues are forecasted to be $1.15 billion, representing a year-over-year increase of 24%. Over the last 30 days, the ...

Roblox (RBLX) closed at $66.58 in the latest trading session, marking a +1.35% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.74%. On the other hand, the Dow registered a gain of 0.05%, and the technology-centric Nasdaq increased by 1.26%.The online gaming platform's shares have seen an increase of 10.4% over the last month, surpassing the Consumer Discretionary sector's loss of 4.48% and the S&P 500's loss of 4.77%.The investment community will be paying close attention to the ea ...