Roblox shares plummet 18% as child safety measures weigh on bookings

In this article

Roblox

shares plummeted 18% on Friday after the company reported first-quarter earnings as its new child safety measures weighed on bookings.

“Part of what we’re rolling out with age check, we believe, is the real, right long-term way to build this platform,” CEO David Baszucki said Friday on CNBC’s “Squawk Box.”

In a letter to shareholders, the gaming company wrote that its new age-check feature “restricted on-platform communication for non-age checked users, diluted communication for age-checked users, and slowed new user acquisition,” causing greater-than-expected headwinds.