Roblox Corp. Raked In $2 Billion In 2022 But Incurred $1 Billion In Losses

Roblox Corporation has managed to rake in a whopping $2 billion in revenue for the fiscal year of 2022 but it also reported roughly $1 billion in net losses.

The company’s Q4 2022 financial report shows a 2% increase in its quarterly revenue compared to the same period last year at $579 million, and a 16% increase in its annual revenue compared to 2021 at $2.2 billion. Q4, however, saw a net loss of $291 million last quarter and $934 million for the whole year. Not to worry though, as the increased expenditure was apparently due to the company’s efforts to expand its business operations.

“2022 was a year of innovation and invention for Roblox,” said Roblox Founder and CEO David Baszucki. “With 65 million daily active users in January, we are driving towards our vision to reimagine the way people come together by enabling deeper forms of expression, communication and immersion.”

“Bookings accelerated meaningfully in December and January, with year over year growth exceeding 20% in both months. Growth was strong across all geographies and age groups with particular strength among users above 17 years old,” added CFO Michael Guthrie. “As bookings re-accelerated late in 2022, we saw immediate improvements in adjusted EBITDA margins. For the full year, we were able to make important investments in infrastructure and trust and safety largely out of cash flow from operations.”

Roblox Corp. also announced its plans to stop publishing monthly metrics starting in April in order to align its reporting cadence with its “value of taking the long view.”

You can check out a summary of the Q4 2022 financial report here.