Roblox’s second-biggest expense, behind developer fees, is infrastructure, privacy and safety. That far outpaced the company’s sales growth of 82 percent last year, when it booked $923.9 million in total revenue. 'Roblox said in the latest update to its prospectus that it paid developers $328.7 million last year, up almost 200 percent from 2019. Their biggest costs are paying developers to build for the platform and infrastructure: Investors will be hoping that eventually they will grow/maintain their users the same way Minecraft has and lower their costs. The company posted a loss of $253.3 million in 2020, which was significantly worse than its loss of $71 million the year before.' ' Roblox brings in a lot of revenue, as the company made $923.9 million in 2020 (+82%), with active daily users climbing to an astonishing 32.6 million. Roblox currently makes substantial losses: Snapchat has a business model that looks like it can never be profitable but the founder is a billionaire. It took Amazon around 20 years to turn into the success it is today. It took Twitter 13 years to make a profit ( ). They all hope it eventually turns into something profitable like Twitter and Amazon. Look at Snapchat, they have never made a profit in 9 years and valued at $88b. The early investors want to see a return so they inflate the values of the stock basing it on revenue and active users and that's how they make money by selling inflated shares to new investors and the company selling shares then uses that income to fund their operation for years.

and it's already pretty widely known among the kids as far as I can see. I don't really get that, as I don't see why their revenue would shoot up suddenly because of the public-trading.

I think an article I saw earlier today said something about valuation being about 26x or something like that. Roblox has been a craze among the kids for years now. Well, the latest craze seems to be on Wall Street.

Roblox war against scammers