Mar 31

Roblox Q1 2025 Earnings Report

Roblox posted strong Q1 2025 results, with significant bookings growth, despite recording a net loss.

Key Takeaways

Roblox exceeded expectations in Q1 2025 with record bookings and free cash flow, reflecting strong platform monetization and developer engagement, though it continued to report a net loss.

Bookings grew to $1.21 billion, up 31% year-over-year.

EPS came in at $(0.32), showing improvement from last year.

Net loss narrowed to $215.1 million from $270.6 million.

Free cash flow surged to $426.5 million, boosted by deferred developer payouts.

Total Revenue
$1.21B
Previous year: $801M
+50.6%
EPS
-$0.32
Previous year: -$0.43
-25.6%
Bookings
$1.21B
Previous year: $924M
+30.6%
Daily Active Users
97.8M
Previous year: 77.62M
+26.0%
Hours Engaged
21.7B
Previous year: 16.69B
+30.0%
Cash and Equivalents
$1.16B
Previous year: $866M
+33.7%
Free Cash Flow
$427M
Previous year: $191M
+123.2%
Total Assets
$7.45B
Previous year: $6.31B
+18.0%

Roblox

Roblox

Forward Guidance

Roblox expects Q2 2025 bookings and free cash flow to remain strong, despite ongoing net losses due to growth investments.

Positive Outlook

  • Bookings guidance for Q2 2025 between $1.165B and $1.19B.
  • Free cash flow projected between $105M and $120M.
  • Operating cash flow forecasted at $160M to $175M.
  • Adjusted EBITDA expected between $25M and $45M.
  • Platform monetization and creator earnings continue to grow.

Challenges Ahead

  • Net loss guidance for Q2 2025 between $268M and $288M.
  • Developer payout delayed from Q1 will reduce Q2 cash flow.
  • High stock-based compensation persists.
  • Infrastructure and trust & safety costs remain elevated.
  • Company remains in a net loss position despite topline strength.