Halloween was a “trick” for Roblox (RBLX), but it’s now enjoying a whole bunch of “treats”. Though the online gaming platform suffered a three-day outage over the Halloween weekend, it’s reported incredible growth in October — with bookings up 34% compared to the same period last year. As a result, Roblox now expects October revenues to come in between $177-180m, which is an increase of nearly 87% compared to 12 months ago.
After the attractive earnings report was released, Roblox’s shares jumped almost 30% after hours. Not bad for a newbie — the company went public in March of this year following a surge in traffic due to Covid-19 lockdowns.
why it matters
If Roblox's earnings tell us something, it's that gaming is here to stay. As people slowly return to pre-pandemic habits, some companies that witnessed a boost during lockdowns have been suffering — take Peloton (PTON)'s recent shares-plunge of 35%, for example.