Roblox shares fell more than 17% in premarket trading Friday after the gaming-platform operator reported third-quarter user numbers below Wall Street expectations and issued fourth-quarter projections that also fell short of consensus estimates.
The company posted a $0.32 loss per share for the third quarter, narrower than the $0.43 loss analysts had expected. Revenue reached $1.57 billion, up 16% from the same period a year earlier and above the $1.46 billion consensus estimate.
User growth misses expectations
Roblox reported 138 million daily active users for the quarter, below the 145.77 million estimate. Engagement was stronger on another measure: users spent 34 billion hours on the platform, exceeding the 32.99 billion forecast.
Bookings, which reflect sales of virtual goods and related services, totaled $1.70 billion. That figure was above the $1.63 billion estimate but declined 12% from the prior year. Roblox also generated $364 million in free cash flow during the quarter.
| Third-quarter measure | Roblox result | Comparison |
|---|---|---|
| Revenue | $1.57 billion | Above $1.46 billion estimate |
| Loss per share | $0.32 | Better than $0.43 expected loss |
| Daily active users | 138 million | Below 145.77 million estimate |
| Bookings | $1.70 billion | Above $1.63 billion estimate |
Fourth-quarter outlook
For the fourth quarter of 2026, Roblox forecast bookings of $1.89 billion to $2.00 billion, below the $2.01 billion consensus estimate. Revenue is expected to range from $1.47 billion to $1.58 billion, compared with the $1.56 billion estimate.
The company projected a consolidated net loss of $363 million to $423 million, wider than the estimated $295.9 million loss. Roblox ended the quarter with $1.09 billion in cash and cash equivalents, above the $875.2 million estimate.
“Our Q3 financial results came in ahead of our guidance for revenue, bookings, and cash flow,” said David Baszucki, founder and CEO of Roblox.
Baszucki also said artificial intelligence was changing how content is produced in gaming. The comments came as the company’s quarterly report showed a mixed operating picture: revenue, bookings, engagement hours and free cash flow exceeded the cited expectations, while daily user growth and the next-quarter outlook did not.
- Daily active users: 138 million, below the 145.77 million estimate.
- Fourth-quarter revenue forecast: $1.47 billion to $1.58 billion.
- Fourth-quarter projected net loss: $363 million to $423 million.
