Roblox released its financials for the third quarter of 2021, ending September 30, reporting a 102% year-over-year increase in revenue.
In the third quarter, the platform generated $509 million in revenue, with financial records up 28% to $637 million. Net loss for the quarter was recorded at approximately $74 million, close to half of the $140 million reported in the second quarter.
Roblox has also seen an increase in player numbers. The number of daily active users increased by 31% compared to the same period of the previous year, reaching 47.3 million. This increase and the number of players show that the platform will continue to grow in the coming periods. Despite the difficulties in the post-COVID-19 normalization process, the company continued to record growth in all key areas.
Roblox CEO David Baszucki said:
“Engagement is our north star. We’re very pleased that during the third quarter, people of all ages from across the globe chose to spend over 11 billion hours on Roblox,” said David Baszucki, Chief Executive Officer of Roblox. We are happy to report that the developer community earned over $130 million in the quarter and is on pace to earn well over $500 million this year. As we finish 2021 and head into 2022, we will continue to invest in innovative technology to enable our developer community to do what they do best – build and create.”
The company started trading again in March and closed its first day on the New York Stock Exchange with a market capitalization of $38 billion.
Roblox’s platform has been fruitful for third-party studios as well; Recently, music game developer Splash had raised $20 million in Series A to support its continued development. Israeli game studio Toya also raised $4 million in investment funds to further its presence on the Roblox platform in September.
Roblox CFO Michael Guthrie added the following comments:
“Growth in all of our core metrics – DAUs, hours, and bookings – displayed strong year-over-year growth despite lapping Covid-impacted periods and back-to-school seasonality. Notwithstanding significant investments in developer economics and hiring, we also generated healthy cash from operations. Based on our October results, we appear to be having a great start to the last quarter of the year.”