This phone conference mainly discussed Roblox's performance in the second quarter of 2025, including significant growth in revenue and bookings, as well as growth in different regions, especially highlighting strong growth in Japan, India, the Philippines, South Korea, and Indonesia. In addition, the conference also emphasized the company's focus on high-quality content, discoverability, economic systems, and LiveOps, as well as its targets for the global gaming content market. The new CFO Naveen also made his first appearance at this conference.

In the second quarter, Roblox's DAU (daily active users) reached 111.8 million, a year-on-year increase of 41%. Significant growth was seen in the United States and Canada, Asia-Pacific region, and among users aged 13 and above. Additionally, user engagement on the platform significantly increased, generating 46 billion hours of activity in the quarter, a 58% year-on-year increase. Furthermore, Roblox set a new record of 4.6 million monthly unique paying users, with an increase in the average monthly payment user reservation volume. The platform also made significant progress in content creation and user experience, with five experiences having over a million daily active users, four of which were released in the past three years. The company also emphasized its continued investment in platform performance, discovery mechanisms, economic systems, as well as innovative initiatives in safety, IP partnerships, advertising integration, and AI technology.

The speaker emphasized the advantages of Roblox's current business scale and financial model, including its large number of daily active users, strong double-digit growth, high levels of free cash flow, and strong liquidity. At the same time, he pointed out the potential of Roblox to leverage multiple growth drivers such as the UGC creator economy, artificial intelligence, market space, and financial scale, expecting these factors to drive further development of the platform and create shareholder value.

The report emphasized the significant growth of non-top-tier experiences (i.e. games outside the top ten on the Roblox platform), including year-on-year increases in gameplay time and spending, as well as the positive impact on creator earnings. In addition, it mentioned the company's substantially increased expectations for full-year revenue and bookings in 2025. Despite facing challenges in the second half of the year, the overall trend remains healthy and positive, demonstrating Roblox's strong competitiveness and growth potential in the global gaming market.

In the conversation, we discussed how game platforms successfully absorbed and processed more than 25 million concurrent players by optimizing infrastructure construction and capital expenditure in the face of surging player demands, particularly mentioning the effective response to peak loads by combining the use of their own infrastructure with resources from cloud service providers, avoiding continuous high capital expenditure.

The conversation discussed the progress of the Roblox platform in ecosystem construction, technological development, and future growth. It emphasized the platform's increasing attractiveness to professional developers and the strategic acceleration of growth by reducing friction for new developers to enter. It mentioned technology investments, discovery engine optimization, improvements to the economic system, and support for cross-device, cross-language creative environments to achieve the goal of broader experiences and accelerated genre expansion. At the same time, it mentioned the continuous development of future technologies, including dynamic pricing, regional pricing, and enhanced user experiences, aiming to achieve a seamless experience from low-end devices to high-end PCs.

The discussion focused on the growth of developers on the Roblox platform and how experiences like Grow Garden serve as a starting point for emotions and creativity, attracting more developers. It mentioned the impact of high turnover rates and search discovery features on experience rankings on the platform, as well as the potential of AI in generating new gaming experiences. Additionally, it emphasized the platform's expansion plans for different types of experiences such as sports, racing, and role-playing games, as well as the goal of increasing developer revenue and efficiency.

The company has recently experienced a series of rapid growth, mainly attributed to continuous innovation and execution in multiple areas including engine development, creator tools, search and discovery, cross-device applications, and automatic translation. Particularly strong growth in the APAC region is due to improvements in automatic translation quality, optimization of infrastructure performance, and increased server capacity in locations like Singapore. The Japanese market especially showed significant growth after improvements in product translation quality.

The conversation discussed how Roblox platform can build its ecosystem and platform in the long term, as well as how to optimize and expand its creators' monetization channels through various tools and models including rewarded video ads, virtual economy models, virtual currency, paid access, games, and advertising support. In addition, strategies were mentioned for attracting more creators, increasing user engagement, and improving user participation and growth on the platform, believing that these factors will collectively promote the platform's diverse monetization capabilities.

Discussed progress in cooperation with Google in the advertising business, including performance optimization for low-memory devices on iOS and Android platforms, as well as the continued growth and experimentation with rewarded video ads. In addition, plans to introduce more third-party advertising partners were mentioned, with an emphasis on nearly 100 publishers currently participating.

Due to audio difficulties preventing the host from continuing, the meeting has decided to read the questions themselves. They will try to resolve the technical issues while also selecting questions from the pile to continue the discussion.

Roblox discussed a new creator reward program in its shareholder letter, aimed at incentivizing creators to bring organic traffic and new users to the platform through optimizing incentive mechanisms, thus promoting the long-term healthy development of the platform. Compared to the old engagement-based payment model, the new system focuses more on rewarding behaviors that can drive platform growth. Additionally, Roblox also mentioned improvements to the platform's discovery mechanism, including more transparent reward criteria and more targeted advertising goals, to increase creators' traffic and user experience. While the short-term financial impact of the creator reward program transformation is not significant, the long-term goal is to share more revenue with creators while leveraging operations in other parts of the business.

In the most recent quarter, the Roblox platform significantly increased customer acquisition by launching new games like Grow Garden, particularly attracting a larger age group of users. These games, due to their creative and social attributes outside of traditional game types, demonstrate high user stickiness and sustainability. By adjusting creator reward mechanisms, the platform encourages the creation of content that can attract more new users, thus achieving continuous growth of the user base and expanding the age demographic.

The conversation delved into the rapid rise of the Grow a Garden game on the Roblox platform, emphasizing the key role of algorithm improvement in enhancing user experience and game recommendation systems. At the same time, it discussed how to effectively retain and guide new users to explore more game experiences through the platform's organic discovery mechanism, demonstrating the strategy and effectiveness of the platform in user retention and game recommendation.