Why Roblox Shares Are Hitting New 52-Week Lows

Shares of video game company Roblox Corporation RBLX are falling after the company reported first-quarter financial results. Here are the key highlights.

What Happened: Roblox reported first-quarter revenue of $537.1 million, up 39% year-over-year. The total missed a consensus estimate of $639.5 million, according to data from Benzinga Pro.

Bookings in the first quarter were down 3% year-over-year to $631.2 million.

The company reported a loss of 27 cents per share in the first quarter, missing an estimate of a loss of 22 cents per share.

Roblox ended the first quarter with 54.1 million average daily users, up 28% year-over-year. The company saw 11.8 billion hours played by users in the quarter, up 22% year-over-year.

Related Link: Spotify Partners With Roblox: What Investors Should Know 

What’s Next: Roblox shared an early look at the second quarter with some April metrics.

Revenue for the month of April is expected in a range of $189 million to $192 million, up 30% to 32% year-over-year. The company sees bookings for April in a range of $221 million to $224 million, down 8% to 10% year-over-year.

Average daily active users were 53.1 million in April, up 23% year-over-year.

“We remained focused on delivering our innovation roadmap to unlock the full potential of the Roblox platform and drive long-term returns for investors,” Roblox CEO David Baszucki said.

RBLX Price Action: Roblox shares fell 6% Tuesday to close at $23.19 versus a previous 52-week range of $24.39 to $141.59.

Roblox shares are down an additional 8% to $21.45 in after-hours trading.