Game platform Roblox earned $653.5m in revenue in their first quarter for 2023, according to their latest financials.
The 22% increase in revenue comes at the same time as an equivalent growth in daily active users, as well as bookings ticking up by 23% to $773.8m. It also hit another record for MUP (monthly unique players) with 13.8m, a sign of the consistent growth in a number of demographics that Roblox has boasted of being a significant driver behind the business. Previous rises were attributed mainly to young adult players as Roblox edges outside of a limited demographic of younger players that has also attracted trouble due to advertising standards.
Founder and CEO of Roblox, David Baszucki stated,“Since inception we have focused on building a technology platform that enables a large and growing community of creators to build amazing experiences. The momentum in our business demonstrates the success of our creator community as they bring their visions to life on Roblox, attracting an ever-growing global user base that spans all ages.
“In Q1 2023 we delivered strong performance across our core operating and financial metrics,” said Michael Guthrie, chief financial officer of Roblox. “Now that we are generating high rates of year-over-year bookings growth, we can now moderate our rate of investment in headcount and infrastructure thereby generating operating leverage. We also expect to see more of our bookings processed through credit cards and prepaid cards which will also have a positive impact on margins.”
Bringing in the big (Ro)bucks
Roblox has continued to grow ever since the pandemic began with massive increases in player-count, from only 23.6m daily active users in the first quarter of 2020, to 66.1m as of 2023. Consistent growth in bookings and revenue ever since indicate that Roblox - which has made itself something of a metaverse darling with in-game concerts and other events - has finally found the path to being a mega-hit since its release in the early 2000s.
This growth comes at a time when game-creation platforms like Unity are increasingly fervent in their pursuit of growing technologies such as AI and advertising. These are two issues Roblox has grappled with adding, but even without these at the forefront it seems that the platform is set to continue growing for the near future.