By Will Feuer
Online game platform operator Roblox Corp. said the strong U.S. dollar is hurting the company's bookings, the latest multinational company to warn of foreign exchange rates hitting results.
Roblox said the impact of the strengthening of the U.S. dollar against the Euro, British Pound and other foreign currencies was more pronounced in May than in prior periods this year.
Roblox estimated that the currency changes reduced the company's May 2022 bookings year-over-year growth rate by 4%.
The company said estimated bookings for the month were between $196 million and $199 million, down 9% to 11% from a year earlier. Estimated average bookings per daily active user were between $3.89 and $3.95, down 23% to 24%.
Other key metrics for the company saw year-over-year growth. Daily active users for the month were 50.4 million, up 17%. Hours engaged were 3.6 billion, up 10%. And revenue is estimated to have risen between 28% and 30% to between $194 million and $197 million.
The stock fell 3% to $25.29 in premarket trading.
A strong dollar allows Americans to buy goods from other countries at lower prices. But it can also hurt U.S. manufacturers by making products more expensive for foreigners, and it means U.S. businesses receive fewer dollars for their exports.
Microsoft Corp. and Salesforce Inc. have recently cited the strong dollar in lowering financial guidance.
Write to Will Feuer at Will.Feuer@wsj.com
(END) Dow Jones Newswires