Roblox shares have skyrocketed in nearly a year. The company shared a report on Q3 bookings that exceeded analysts’ expectations, boosting the financial forecast for the whole year.
According to a Bloomberg report, Roblox reported $1.1 b in bookings in the past three months ending September 30th. The extent of bookings has risen 34% higher than last year. Moreover, this has also outdone analyst’s expectations of $1 b including the company’s prediction.
Roblox now anticipates the forecast for the Q4 bookings between $1.34 b to $1.36 b. This makes the whole year forecast which was initially $4.18 billion to $4.23 billion, now increased to $4.34 b to 4.37 b.
At 9:51 am in New York, the shares of the California-based company also rose to 15.7% making it $49.93, the record high in nearly a year.
Roblox has a 27% increase in daily users during Q3
The users of Roblox are reported spending more time and money on the platform with each passing year. The game has increased its daily active count to 88.9 million users.
The company has credited its AI-based search and discovery feature with its growth. This feature helps users find games according to their preferences. Moreover, the company’s developers constantly publish high-quality games that users spend more money on.
Roblox has been criticized for child abuse cases within the game. Is it safe to play?
In July, Bloomberg reported that US police made two dozen arrests of people for abusing and kidnapping the victims they lured on Roblox.
The shares of Roblox declined in October by 9% after Hindenberg Research published a report accusing Roblox of not preventing the game from child abusers from using the platform. The report also questions the user count of the game and considers it misleading for the investors.
In November, the online gaming platform with millions of users of various age differences will be making changes to its safety rules. This action follows the criticism of the policies and the arrests of reported child abusers playing the game.
In the new safety policies, the 40% user base of the game under 13 children will require parental permission to access some chat features.
Addressing child safety in its press release on Thursday the company said they have thousands of moderators in the game and that it is “deeply troubled by any incident that endangers our users”.
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