Roblox Shares Plunge as New Child Safety Features Hit User Growth and Bookings Forecast

Roblox Corp. shares plunged the most in more than four years on Friday, marking the steepest single-day drop since early 2022, after the company reported fewer daily active users in the first quarter than analysts had anticipated. The video game platform, popular among younger audiences, attributed the slowdown directly to new safety features designed to restrict how children interact with the service.

According to Bloomberg reports, Roblox also slashed its full-year bookings forecast, a key revenue metric for the company, citing from these child-safety measures and age-verification requirements. These updates came amid broader concerns about user engagement on the platform, where millions of kids and teens build, play, and socialize in user-generated virtual worlds.