According to Bloomberg, the first month of 2022, Roblox stock fell 29%. This led them to make clear policy adjustments.
Roblox reported for the fourth quarter and full year of 2021. Despite impressive revenue growth, not all investors were satisfied with the company’s overall growth rate. As a result, during the extended trading period, Roblox stock fell nearly 20%.
Revenue was $568.8 million, up 83% year-over-year. Roblox’s DAU (daily player count) stands at 49.5 million users, up 33% year-over-year. The revenue per daily active user (ABPDAU) is $15.57.
Roblox stock fell.
Its revenue was reported at $1.9 billion, up 108% year-on-year. Revenue came in at $2.7 billion – a 45% year-over-year increase. The platform’s DAU reached 45.5 million, a 40% increase from 2020. ABPDAU reached $59.85.
According to Reuters, in the fourth quarter, Roblox fell slightly below analyst expectations. They had forecast earnings of $772 million, not $770 million. Roblox also posted a much larger loss per share of $0.25 per share (compared to the $0.13 Wall Street analysts had expected).
At the close of trading, Roblox stock closed at $73.3 per share. However, during the extended trading period, it fell almost 20% to $62.1.
The company is calculating what the next move will be to make the stock “green” again.
The short-term results disappoint investors, according to Brandon Ross, an analyst at LightShed Partners. However, they still hope for a positive growth momentum in the long term, based on the growth of their user base and engagement.
Roblox CEO David Baszucki also acknowledged a slowdown in growth compared to some quarters of 2020, when certain metrics showed double and even triple growth. This is partly because in the US now many children have gone back to school and are beginning to spend more time in various activities that do not involve video games.
