In other words, not as many people are joining Roblox as hoped. And spending per user is stagnating, a combination that troubles investors. On top of this concern, Roblox's management provided financial guidance for 2025, showing slower revenue growth and larger net losses. This led to the big drop with Roblox stock today.

Analysis of Roblox Corporation's Q4 earnings reveal softer DAU trends & below-consensus FY 2025 bookings. Click for my updated look at RBLX stock prospects.

For 2025, Roblox expects bookings to come in between $5.2 billion and $5.3 billion and to produce a net loss of about $1.03 billion at the midpoint of its guidance. However, the business is expected to generate $800 million to $860 million in free cash flow.

Roblox stock is down Thursday after the gaming company came up short on key metrics for its fourth quarter. Here's what you need to know.

Gaming metaverse operator Roblox (NYSE:RBLX) reported Q4 CY2024 results , with sales up 31.8% year on year to $988.2 million. The company expects next quarter’s revenue to be around $1.00 billion, coming in 2.