Roblox drops after gaming platform misses earnings expectations for the 2nd quarter even as user growth accelerates

• Roblox shares fell Tuesday after the gaming platform missed second-quarter earnings expectations.
• Bookings rose by 35% to $665.5 million, short of an estimated $683.3 million.
• Average daily users increased by 29% to 43.2 million.

Roblox shares dropped Tuesday after the company, whose site features popular games such as "Jailbreak," posted second-quarter financial results that fell short of expectations and suggested an impact from COVID vaccinations and easing restrictions on outdoor activities.

Bookings rose 35% to $665.5 million from a year ago but were below an estimated $683.3 million, according to Bloomberg. Analysts watch bookings as users purchase the virtual currency Robux that can be spent over time on in-game items such as clothing and accessories for avatars. The pace of bookings slowed compared with the first quarter when there was 161% increase to $652.3 million from a year earlier.

Roblox shares fell 6.7% to $74.21. The company went public in March and its stock had gained about 14% through Monday.

Roblox said average bookings per daily average user of $15.41 marked a "slight increase year over year". In the first quarter, that metric rose 46% year over year to $15.48.

Average daily active users climbed by 29% to 43.2 million. In the first quarter, that metric increased by 79% year over year. In July, Roblox said it saw growth of 28% to 46.6 million from the same period a year earlier.

Revenue for the second quarter increased to $454.1 million from $200.4 million. The company's net loss was $140.1 million, or $0.25 per share. A year ago, it lost $71.5 million, or $0.40 per share. Analysts had expected earnings of $0.12 per share.