Massive tween game Roblox files for IPO
November 20, 2020 at 00:38
New York (CNN Business) Popular tween gaming platform Roblox filed to go public on Thursday.
The company declined an interview, citing a quiet period.
The company reported revenue of $589 million and an operating cash flow of $345 million for the nine months ending in September.
It is not yet profitable, reporting a net loss of $203.2 million in the nine months ending in September, according to the IPO filingIf you've never heard of Roblox, that may be because you're not a tween or a parent of one.
The entire platform is made up of user-generated games, many of them created by children and teens who have made millions of dollars through the platform.
About 75% of American children ages 9 through 12 play Roblox regularly with friends, according to the company.
During the pandemic, kids have flocked to Roblox to throw virtual birthday parties and other in-game events that were no longer safe to hold in-person.
In July, gamers spent 3 billion hours playing Roblox, twice as much time as in February.
An average of 36.2 million users log on to the platform each day to play with friends.
Of those users, 29% are between the ages of 9 and 12 and 25% are under age 9, according to the filing.