Roblox pulled its full-year 2026 financial guidance after reporting second-quarter results that showed booking growth slowing sharply, sending the stock tumbling and rattling investors who had grown used to steady growth from the gaming platform.

The company reported revenue of $1.469 billion for the quarter, up 36% from a year earlier, but posted a net loss of $183 million, or 26 cents a share. Bookings, a closely watched measure of user spending, came in at $1.557 billion, an 8% increase year over year but well short of the pace Wall Street had expected.

Roblox said it would stop issuing full-year guidance and move to a quarterly-only forecast going forward, citing uncertainty tied to recent algorithm and safety changes on the platform. For the third quarter, the company guided to revenue of $1.58 billion to $1.65 billion and bookings of $1.576 billion to $1.653 billion, implying a year-over-year bookings decline of roughly 14% to 18%.

That would mark the first guided drop in bookings in the company’s history as a public company. Executives pointed to stricter age verification and safety measures, along with changes to the platform’s discovery algorithm, as the main drags on near-term engagement and monetization. The company also disabled the sale of cross-experience game passes, a change that hit revenue from younger users harder than expected.

The stock had already taken a hit before this week’s news, falling roughly 29% on July 31 in its worst single trading day, after the company first signaled the bookings slowdown. Shares have now fallen more than 70% from their 52-week high of $142, changing hands around $37. A company director sold more than 16,000 shares shortly after the earnings report.

Despite the sharp reversal, some analysts have kept an outperform rating on the stock, arguing the safety changes are a necessary near-term cost for a platform that remains popular with tens of millions of young users. Investors will be watching the next few quarters closely to see whether bookings stabilize once the new safety measures are fully in place.