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A child looks back at a banner for Roblox, displayed to celebrate the company’s IPO, on the front facade of the New York Stock Exchange (NYSE) in New York, March 10, 2021.
Brendan McDermid | Reuters
Shares of Roblox closed down 9% Wednesday after the company released its November metrics, showing a decline in daily active users from October.
The video game company reported 49.4 million daily active users in November. While that’s up 35% year-over-year, during the first 27 days of October the company reported 50.5 million daily active users. It faced an outage between Oct. 28 and Oct. 31, which caused a decline in DAUs, as well as $25 million in lost bookings.
“Based on management’s commentary with 3Q21 earnings, including October performance, results came in slightly below our expectations and appeared to trail the historical trend line whereby November typically experiences a modest sequential uptick vs. October,” Stifel analysts said in a note.
KeyBanc analysts said the drop could carry over into December and negatively affect fourth-quarter totals.
“Considering management has also said December is roughly 80% larger than the October/November levels, we believe this means 4Q numbers are likely to come down in the immediate term,” KeyBanc said in an investor note. “We were previously looking at roughly $800 million in bookings for 4Q,” but if that trend holds it “would seem to indicate closer to $780 million. Our model is under review.”
Roblox said estimated average bookings per daily active user was between $4.21 and $4.27, or down 8% to 9% year-over-year. At the same time, estimated bookings for November were between $208 million and $211 million, up 22% to 24% year-over-year.
— CNBC’s Michael Bloom contributed to this report.
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