Roblox Q3 revenue misses estimates; sees Q4 bookings falling 10%-15%

Roblox

29/10/2026 20:42

Overview
Immersive gaming platform's Q3 bookings totaled $1.7 bln
Revenue rose 16% to $1.57 bln

Outlook
Q4 bookings seen at $1.89 bln-$2.00 bln, down 10%-15%; assumes seasonal DAU decline 
 Q4 adjusted EBITDA seen at -$70 mln to -$10 mln Q4 free cash flow seen at -$190 mln to -$105 mln, including capex shifted from Q3
Q4 revenue seen at $1.47 bln-$1.58 bln, up 4%-12% 

Result Drivers
BOOKINGS COMPARISON – Q3 bookings fell 12% yr/yr, reflecting comparison with extraordinary 2025 growth
RECOMMENDATION ALGORITHM – RFY personalization improved retention and monetization, positively impacting Q3 bookings
AI INFRASTRUCTURE SPENDING – Infrastructure and trust & safety expenses rose 24% to $258 mln due to AI training and inference investments

Company press release: ID:nBw5tnW1Na

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Bookings
 
$1.70 bln
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 17 "strong buy" or "buy", 18 "hold" and 3 "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy."
Wall Street's median 12-month price target for Roblox Corporation is $50.00, about 6.2% below its October 28 closing price of $53.28

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)