Nike and roblox are teaming up to launch a virtual world called Niketown.
The gaming company reported earnings on Tuesday after it missed Wall Street’s top and stock estimates. Revenue (reservations) came in at $770 million, compared to the $772 million forecast, according to Refinitiv’s fourth-quarter estimates. It also announced a 25 percent loss per share, which is worse than the expected loss of 13 cents per share. Roblox said it had 49.5 million daily active users during the quarter, up 33% year over year.
Roblox is an open gaming platform that allows players to create their own interactive “worlds”. It was the first major company working on the metaverse to go public. The company sells virtual currencies to players, which are used to purchase digital items in the game. The company has recently partnered with companies such as nike and the NFL.
Analysts were concerned about the slowdown in bookings and expectations.
“The main takeaway from Roblox’s Q4 update… January 22 bookings saw a slowdown compared to previous months, up only 2%-3%, compared to October/November/December 21 at +15%/+23%/+21% on respectively, for example, Stifel analysts said in a note Tuesday evening.
Furthermore, the company noted that year-over-year bookings “should improve starting in the May-June timeframe,” leaving us to consider what this suggests for February and April. Why the expected slowdown?
“Beer aficionado. Gamer. Alcohol fanatic. Evil food trailblazer. Avid bacon maven.”