Why Roblox Stock Is Tumbling After Earnings | Global News Avenue

Rob Less (RBLX) On Thursday, the company reported fewer users than expected in the fourth quarter.

Online gaming platforms had 85.3 million average daily active users during this period, up 19% year-on-year, but lower than Analyst consensus 88.3 million. Rob Less Booking is essentially a 21% increase in sales of the platform’s virtual currency to $1.36 billion, with no expectations.

Revenue rose 32% to $988.2 million, surpassing expectations for the company’s Net loss Shrink to $219.6 million, or 33 cents Per sharefrom $323.7 million a year ago, or 52 cents a share price, is also better than analysts’ predictions.

The annual net loss forecast exceeds the estimated value

Looking ahead, Roblox predicts revenue in 2025 between $4.25 billion and $4.35 billion, which is in line with analysts’ expectations of $4.29 billion. The company expects a net loss of between $995 million and $1.07 billion for the full year, with a point far higher than the analyst consensus of $927.2 million.

CEO David Baszucki says Roblox plans to invest in “AI– Capable of discovery “trying to support “10% of the global gaming content market”.

Roblox shares fell nearly 14% to $65.06 on Thursday afternoon. But the stock has gained 60% value in the past 12 months.