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Roblox Expands Revenue Streams: Will Ads and IP Deals Boost Growth?
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Key Takeaways
Roblox is adding new revenue streams through advertising and IP licensing initiatives.
Rewarded Video ads in beta with Google show strong early adoption by nearly 100 publishers.
IP License Manager links creators with brands like Netflix, Sega, Lionsgate and Kodansha.
Roblox Corporation (RBLX - Free Report) is broadening the monetization model as it looks beyond the virtual currency system. In the second quarter of 2025, the company advanced two initiatives aimed at creating new revenue streams, advertising and intellectual property (“IP”) licensing.
On the advertising front, Roblox rolled out Rewarded Video ads in beta in partnership with Google. Nearly 100 publishers have already integrated the format, with the company noting strong early adoption. The ads are designed to be lightweight and run smoothly even on lower-end devices, making them accessible across the company’s global user base. This addition offers developers a fresh monetization option, complementing existing in-game purchases and premium features.
Roblox also launched its new IP License Manager, which connects platform creators with established brand owners. Partnerships with Lionsgate, Netflix, Sega and Kodansha highlight the potential for recognizable IP to drive higher user engagement and spending. Beyond licensing, activations with brands like FIFA and Google Play further underscore the appeal of Roblox as a marketing and distribution channel.
These initiatives reflect a focused push to diversify the revenue mix and reduce reliance on its primary virtual currency model. By blending advertising and branded IP into the ecosystem, Roblox is positioning itself to capture incremental value from both users and creators. The success of these efforts will depend on scaling adoption without undermining user experience. For investors, these developments represent early but significant steps toward broadening RBLX’s long-term growth drivers.
RBLX’s Price Performance, Valuation and Estimates
RBLX’s shares have gained 105.1% in the past six months compared with the industry’s rise of 25.6%. In the same time frame, shares of other industry players, such as Take-Two Interactive Software, Inc. (TTWO - Free Report) and Electronic Arts Inc. (EA - Free Report) , have gained 15.6% and 30.1%, respectively.
Image Source: Zacks Investment Research
With the recent gain, RBLX is priced at a premium relative to its industry. Its forward 12-month price-to-sales ratio of 12.22 is well above the industry average. Meanwhile, Take-Two Interactive and Electronic Arts’ forward 12-month price-to-sales ratios are 5.95 and 5.34, respectively.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Roblox’s 2025 loss per share has widened from $1.38 to $1.71 over the past 60 days. This downward revision indicates that analysts have grown more cautious on the company’s near-term earnings profile. Meanwhile, Take-Two Interactive and Electronic Arts’ earnings in fiscal 2026 are likely to witness growth of 33.7% and 21.1%, respectively.
Image: Bigstock
Roblox Expands Revenue Streams: Will Ads and IP Deals Boost Growth?
Key Takeaways
Roblox Corporation (RBLX - Free Report) is broadening the monetization model as it looks beyond the virtual currency system. In the second quarter of 2025, the company advanced two initiatives aimed at creating new revenue streams, advertising and intellectual property (“IP”) licensing.
On the advertising front, Roblox rolled out Rewarded Video ads in beta in partnership with Google. Nearly 100 publishers have already integrated the format, with the company noting strong early adoption. The ads are designed to be lightweight and run smoothly even on lower-end devices, making them accessible across the company’s global user base. This addition offers developers a fresh monetization option, complementing existing in-game purchases and premium features.
Roblox also launched its new IP License Manager, which connects platform creators with established brand owners. Partnerships with Lionsgate, Netflix, Sega and Kodansha highlight the potential for recognizable IP to drive higher user engagement and spending. Beyond licensing, activations with brands like FIFA and Google Play further underscore the appeal of Roblox as a marketing and distribution channel.
These initiatives reflect a focused push to diversify the revenue mix and reduce reliance on its primary virtual currency model. By blending advertising and branded IP into the ecosystem, Roblox is positioning itself to capture incremental value from both users and creators. The success of these efforts will depend on scaling adoption without undermining user experience. For investors, these developments represent early but significant steps toward broadening RBLX’s long-term growth drivers.
RBLX’s Price Performance, Valuation and Estimates
RBLX’s shares have gained 105.1% in the past six months compared with the industry’s rise of 25.6%. In the same time frame, shares of other industry players, such as Take-Two Interactive Software, Inc. (TTWO - Free Report) and Electronic Arts Inc. (EA - Free Report) , have gained 15.6% and 30.1%, respectively.
Image Source: Zacks Investment Research
With the recent gain, RBLX is priced at a premium relative to its industry. Its forward 12-month price-to-sales ratio of 12.22 is well above the industry average. Meanwhile, Take-Two Interactive and Electronic Arts’ forward 12-month price-to-sales ratios are 5.95 and 5.34, respectively.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Roblox’s 2025 loss per share has widened from $1.38 to $1.71 over the past 60 days. This downward revision indicates that analysts have grown more cautious on the company’s near-term earnings profile. Meanwhile, Take-Two Interactive and Electronic Arts’ earnings in fiscal 2026 are likely to witness growth of 33.7% and 21.1%, respectively.
Image Source: Zacks Investment Research
RBLX currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.