Roblox Q3 2025 Supplemental Materials

Key insights

6 takeaways

01
Roblox reported a 70% year-over-year increase in Q3 2025 bookings to $1.92 billion, alongside a 48% rise in revenue to $1.4 billion.See it on page 3
02
Daily active users reached 151.5 million, with total hours engaged growing 91% compared to the previous year.See it on page 3
03
Free cash flow surged 103% to $442.6 million, contributing to a strong liquidity position of $5.2 billion in cash and cash equivalents.See it on page 25
04
Management expects continued growth in bookings and operating cash flow for the remainder of the fiscal year, despite anticipating persistent consolidated net losses and high capital expenditures.See it on page 29
05
The company is transitioning to a more rigorous verification hierarchy for demographic tracking to reduce reliance on self-reported user data.See it on page 42
06
Operational metrics like hours engaged and average bookings per user are being refined to better account for botting, non-active time, and unauthorized platform activity.See it on page 43

Summary

Roblox experienced substantial financial and operational expansion during the third quarter of 2025, characterized by a 70% year-over-year increase in bookings to $1.92 billion and a 48% rise in revenue to $1.4 billion. This growth is underpinned by a significant surge in user engagement, with daily active users reaching 151.5 million and total hours engaged climbing 91% compared to the previous year. The company’s liquidity position remains robust, supported by $5.2 billion in cash and cash equivalents and a 103% increase in free cash flow to $442.6 million.

While the company projects continued growth in bookings and operating cash flow for the remainder of the fiscal year, it anticipates persistent consolidated net losses and elevated capital expenditures. Management emphasizes that bookings provide a more accurate reflection of current performance than GAAP revenue, which is subject to deferral over an estimated 27-month user lifetime. To improve data integrity, the company is transitioning toward a more rigorous hierarchy of verification sources for demographic tracking, moving away from reliance on self-reported user information.

Operational metrics, including hours engaged and average bookings per daily active user, remain subject to ongoing refinement as the company enhances its detection of botting, non-active time, and unauthorized platform activity. These metrics are treated as estimates that may fluctuate as tracking methodologies evolve. Furthermore, geographic data—derived from registration IP addresses or billing information—is acknowledged as an approximation that may not always align with a user’s precise physical location. These adjustments reflect a broader strategic effort to standardize reporting accuracy across the global platform as it scales.