Roblox, the online gaming platform for kids, reported a net loss of nearly $1 billion for 2022. However, the platform generated revenues of $2.2 billion, representing a 16% increase year-over-year.
In the fourth quarter of 2022, Roblox generated revenues of $579 million, representing a 2% increase year-over-year, but with a net loss of $291 million, a 97% increase year-over-year.
Higher Costs and Deferred Revenues
The higher losses are primarily attributed to higher costs to support the expansion of business operations. Roblox also deferred a "significant amount of revenue" into later periods, which is mostly due to a change in calculation. The company still expects losses in the foreseeable future and has announced to stop publishing monthly metrics starting March 2023.
Increase in Daily Active Users
In 2022, the number of daily active users on the platform reached 56 million, representing a 23% increase from the previous year. In the fourth quarter of 2022, the platform had 58.8 million daily active users, representing a 19% increase from the previous year.
Year of Innovation and Invention
Roblox emphasized that 2022 was a year of innovation and invention for the company. The platform continues to work on enabling new forms of expression, communication, and immersion.
