Roblox Beats Estimates Again as New Hits Emerge. The Stock Falls.

Shares of Roblox have risen 131% in 2025.

Key Points

• Roblox’s third-quarter bookings reach $1.9 billion, exceeding Wall Street estimates of $1.7 billion.
• Daily average users set a new record at 152 million, with players spending nearly 40 billion hours on the platform.
• International bookings double over 2024, and over two-thirds of Roblox users are now 13 years old or older.

Gaming platform Roblox faced high expectations for its third quarter following recent growth from its runaway hit, Grow A Garden. The company smashed through them.

Roblox’s third-quarter bookings came in at $1.9 billion, beating Wall Street estimates of $1.7 billion. The beat follows a surprise 51% bookings growth in the second quarter.

The stock has risen 131% this year but fell 11% to $119.39 on Thursday.

“Roblox has experienced extraordinary growth in the past two quarters,” the company said in a letter to shareholders. “With this scale, we see opportunities to redouble our innovation and investment in ways that further distinguish our platform and feed the flywheel of users, content, and monetization.”

Roblox recognizes about 80% of its revenue over 27 months, so analysts use bookings—the value of gross sales—as their preferred way to track revenue.

Daily average users comfortably set a new record at 152 million, up from 112 million in the second quarter. Players spent a total of almost 40 billion hours on the platform in the third quarter, handsomely beating the record of 27 billion set in the second quarter. This quarter included July and August, when Roblox’ young users have more free time on their hands.

Fourth-quarter bookings guidance was strong at over $2 billion, ahead to Wall Street’s consensus estimate of $1.8 billion. Roblox’ third-quarter guidance turned out to be extremely conservative.

The millions of games on Roblox are made by users with the free Roblox Studio application, still the simplest way for someone with an idea to make a game and get it in front of a large audience. The platform is like a YouTube for games and it’s led to a steady pattern of popular games that eventually get supplanted by new games. Grow A Garden gave way to Steal a Brainrot, which is being supplanted by new games like 99 Nights in the Forest.

Roblox has consistently shown over 20% long-term growth in bookings and users from this churn, but now it is starting to see more big hits. It is ultimately a social platform for young people, with large groups playing together in a giant sandbox. Games are attracting more players just because so many are already there.

These hits are also being accompanied by broader reach. Third-quarter spending on games outside the top ten was up 40% from 2024.

Roblox is finding its best growth internationally. Third-quarter North American bookings were up a healthy 50% over 2024, but the rest of the world combined saw bookings double in that time.

Roblox users continue to age up. Once a platform that had a majority of users under 13 years old, it hit a new milestone this quarter with over two-thirds of users being 13-or-over.

Write to Adam Levine at adam.levine@barrons.com