The New York Stock Exchange welcomes Roblox (NYSE: RBLX) executives and guests to celebrate its direct listing today, Wednesday, March 10, 2021.
Roblox stock rose up to 5 percent in over-the-counter trading after the first earnings report since going public was published in a direct listing in March.
This is how the company did it:
- Loss: $ 0.46 per share
- Revenue: $ 387 million, up 140 percent year over year.
The company’s net loss for the quarter was $ 134.2 million.
The children’s gaming app has grown in popularity during the pandemic as schools closed and sports teams suspended games. This resulted in a successful public debut in March, with the shares trading starting at $ 64.50. This corresponds to an increase of 43 percent compared to the last private financing round in January.
It closed at $ 64.33 after business hours on the Monday before moving.
In the first quarter, daily active users rose to 42.1 million, an increase of 79 percent over the previous year. Users spent 9.7 billion hours on the platform, a 98 percent year-over-year increase from March 2021.
That commitment resulted in bookings of $ 652.3 million, an increase of 161 percent over the previous year. On a quarterly basis, the average booking per Daily Active User (DAU) was $ 15.48, up 46 percent from last year.
Since much of the content on the platform is free, investors pay special attention to how Roblox monetizes its users. The more the company can increase its average bookings per daily active user, the better the company will perform.
The company also offered an early second quarter forecast in the form of results for the month of April. Sales were between $ 143 million and $ 145 million, up around 138 percent from April last year.
Daily active users grew 37 percent to $ 43.3 million as of April 2020. Bookings ranged from $ 242 million to $ 245 million, an increase of about 60 percent. This equates to an average booking per DAU of between $ 5.59 and $ 5.66, and an increase of about 16 percent.
Excluding the post-business move, Roblox stock has fallen around 2.3 percent since the start of the year, while the S&P is up around 12.7 percent over the same period.
CLOCK: Cramer recommends buying Roblox and warns of oncoming turbulence in stock