Gamers have spent 16.7 billion hours into Roblox in three months. This online game platform boasts 77.7 million daily active users, 60 percent of whom are under 16 years old.
While Roblox's latest financial results, announced in May 2024, pertain to the quarter ending March 31st, the company revealed an impressive 17 percent year-over-year increase in daily active users, reaching 77.7 million.
Mirroring the daily active user stat, engagement also rose 15 percent, with players logging 16.7 billion hours in the quarter. Roblox also reported an average of 15.6 million unique paying customers per month, up 13 percent, spending an average of nearly £16.41 per person (or $19.68 exactly), a 6 percent increase.
Roblox Sees Record Engagement
Despite exceeding expectations, the company remains focused on accelerating its user base. It aims to reignite growth to 20 percent year over year, exceeding last quarter's performance.
"We began experimenting with changes in our AI-driven discovery algorithm and the positioning of various content types on the Homepage," Roblox founder and CEO David Baszucki stated. "We reintroduced platform-wide events like The Hunt: First Edition. And, we continued to improve the quality and performance of our app and experiences."
Despite impressive user and engagement growth, Roblox's stock price plummeted 23 percent following its earnings announcement, marking its steepest decline in two years.
This comes even as the platform has fostered a thriving creator economy, with a 25-year-old game designer from New Zealand reportedly generating six-figure monthly revenue through Roblox game development.
Business Insider shared an essay based on a conversation with Janzen Madsen, a 25-year-old game designer from New Zealand, detailing his experience making money on Roblox. Insider verified Madsen's business revenue through documentation.
Sharing his experience, Madsen recalled the thrill of his first $2 earned from a Roblox game creation in 2017. This fueled his determination to grow his earnings on the platform. By 2020, his income had surged to nearly $40,000 within a year, and the following two years witnessed exponential growth.
Since 2021, Madsen and his team at Splitting Point Studios have consistently generated six-figure monthly revenue through Roblox experiences. Their combined efforts have produced over 25 games, garnering an impressive 3.1 billion plays.
His passion for game creation began around age seven, fueled by countless hours spent playing video games. Madsen explained that he would constantly brainstorm ideas for improving existing games or creating new concepts.
This creative spark translated into action at 16 when he began developing and managing servers within "Minecraft." Madsen found Roblox in 2017. Back then, he and his friends often gathered for gaming sessions, and one night, they decided to try Roblox. The platform's vast selection of games sparked his inspiration.
"I downloaded Roblox Studio the next day. I started creating as a developer that year — and soon after built my first experience, BedWars, while on holiday with my parents," he said.
Madsen downloaded Roblox Studio and started learning the basics of developing on Roblox. In the fall of 2019, he was accepted into Roblox's Accelerator Program.
He told BI that the program opened his mind and taught him to think more critically about his creations. Through specialised talks, consultations, and roundtables on game design, production management, and best practices, Madsen gained access to invaluable industry knowledge.
The program also provided Madsen with a valuable mentor: @Cracky4. During in-experience sessions, @Cracky4 offered insightful feedback, helping Madsen identify areas for improvement and elevate his creations.
Though the Accelerator program has concluded, Roblox, which made its Wall Street debut in 2021, remains committed to fostering developer talent. Aspiring creators can access a wealth of resources, including Level Up content with game design insights and the Roblox Game Fund, which empowers developers to bring the next generation of Roblox experiences to life.
Madsen's Advice for Aspiring Roblox Developers
Before diving into development, immerse yourself in the platform as a player. Understand what makes Roblox experiences successful and what players enjoy. Roblox thrives on social interaction so design experiences that encourage players to connect and have fun together.
Roblox Studio is free and provides everything you need to build anything, from simple objects to games. There's no upfront cost, minimising risk, so best to take advantage. On top of this, Roblox offers many resources, including developer support and educational content like "Level Up," to help you learn and grow.
While Madsen's advice paints a positive picture of Roblox for aspiring developers, it's important to remember safety concerns for younger users. In 2018, there were incidents of strangers using the platform to message children inappropriately. This is a reminder for parents to monitor their children's activity on Roblox to ensure a safe online experience.
