10-QPeriod: Q2 FY2025

Roblox Corp Quarterly Report for Q2 Ended Jun 30, 2025

Filed July 31, 2025For Securities:RBLX

Summary

Roblox Corporation reported its financial results for the quarter ended June 30, 2025. The company demonstrated continued revenue growth, with a 21% increase for the three-month period and a 25% increase for the six-month period compared to the prior year. This growth was primarily driven by an increase in bookings, fueled by a significant rise in daily unique paying users. Despite revenue growth, the company continues to incur net losses, consistent with its strategy of investing in platform development and user acquisition. Key financial highlights include a substantial increase in deferred revenue, indicating strong future revenue potential. The company also saw an increase in operating expenses, particularly in infrastructure and trust & safety, research and development, and general & administrative costs, reflecting ongoing investments. Cash flow from operations remained strong, bolstered by deferred revenue, demonstrating the company's ability to generate cash from its user base.

Financial Statements
Beta

Key Highlights

  • 1Revenue increased by 21% to $1.08 billion for the three months ended June 30, 2025, and by 25% to $2.12 billion for the six months ended June 30, 2025, year-over-year.
  • 2Bookings saw significant growth, up 51% year-over-year for the three months ended June 30, 2025, reaching $1.44 billion, and up 41% for the six months ended June 30, 2025, reaching $2.64 billion.
  • 3Average daily unique paying users increased substantially, from approximately 0.98 million in Q2 2024 to 1.48 million in Q2 2025.
  • 4The company reported a net loss attributable to common stockholders of $278.4 million for the three months and $493.4 million for the six months ended June 30, 2025.
  • 5Cash flow from operating activities was strong at $643.2 million for the six months ended June 30, 2025, an increase from $390.4 million in the prior year period.
  • 6Free cash flow more than doubled to $603.2 million for the six months ended June 30, 2025, compared to $302.6 million in the prior year period.
  • 7Total costs and expenses increased by 24% for the three months and 21% for the six months ended June 30, 2025, outpacing revenue growth, primarily due to increases in developer exchange fees, infrastructure, and R&D expenses.

Frequently Asked Questions

Roblox reported a 21% increase in revenue for the three months ended June 30, 2025, reaching $1.08 billion, and a 25% increase for the six months ended June 30, 2025, reaching $2.12 billion, compared to the same periods in the prior year.

No, Roblox continues to incur net losses. For the three months ended June 30, 2025, the net loss attributable to common stockholders was $278.4 million, and for the six months ended June 30, 2025, it was $493.4 million. This is in line with the company's strategy of investing heavily in growth and platform development.

Roblox demonstrated strong cash flow generation. Cash flow from operating activities was $643.2 million for the six months ended June 30, 2025, up from $390.4 million in the prior year. Free cash flow also saw significant growth, more than doubling to $603.2 million for the same period.

The increase in bookings is primarily driven by a substantial rise in the average number of daily unique paying users, which grew significantly year-over-year. This indicates a growing paying user base and increased monetization on the platform.