Roblox Shares Fell 12% After The March Update Is Released

After Roblox released its March 2023 metrics report on Monday, the gaming company forecasted that average bookings per day for its users will fall from 2012 levels in favor of January levels in 2023. This led to the shares of Roblox slumping 12% on Monday.

‍

According to Roblox's estimates for bookings per daily active user in March, they were between $3.73 and $3.85 per day, representing a change of -2% to +1% over the same period last year, which shows that there has been an increasing trend.

‍

During the month of September, bookings are estimated to have been between $247 million and $255 million, up 23% y-o-y $247 million and $255 million.

‍

As a way of describing its revenue figures, Roblox calls them bookings. Players purchase Robux, the company's virtual currency, in order to dress up their avatars and buy cars and other premium features in the games, which, in turn, generates revenue and can be used by the company. There were 66.2 million daily active users in March 2022, a 26% increase from March 2021.

‍

In addition, Roblox has also announced that it will stop releasing key metrics reports every month. In its statement to the SEC, the company noted that while it considers that it has provided investors with more information in regards to the seasonality of the company's business, we have decided to stop providing key monthly metrics in order to align our reporting cadence with our long-term approach to business management.

‍

Roblox shares have increased by more than 60% during the first half of the year.

‍

‍