Riot Platforms, Inc. (NASDAQ: RIOT ) Q4 2024 Earnings Conference Call
On February 24, 2025, at 4:30 PM ET, Riot Platforms, Inc. (NASDAQ: RIOT ) held its Q4 2024 earnings conference call. The call was attended by the following company participants: Phil McPherson – Vice President, Capital Markets & Investor Relations, Jason Les – Chief Executive Officer, Colin Yee – Executive Vice President & Chief Financial Officer, and Jason Chung – Executive Vice President, Corporate Development & Strategy.
Company Participants’ Remarks
Jason Les: I’m pleased to report that Riot had another strong quarter, with revenue growth of 23% year over year. Our gaming segment continued to perform well, with Roblox generating $1.2 billion in bookings, a 25% increase from the previous year. Our advertising business also saw significant growth, with a 30% increase in revenue.
Colin Yee: Our operating income for the quarter was $350 million, a 21% increase year over year. Our net income was $275 million, up 24% from the previous year. Diluted earnings per share were $0.77, a 23% increase.
Jason Chung: We’re excited about the opportunities ahead for Riot. We’re investing in new areas, such as virtual reality and artificial intelligence, to enhance the user experience on our platforms. We’re also exploring strategic acquisitions to expand our reach and capabilities.
Conference Call Participants’ Questions and Answers
Greg Lewis (BTIG): Can you discuss the growth in Roblox’s bookings and the drivers behind it?
Jason Les: Sure, Greg. The growth in Roblox’s bookings can be attributed to several factors. First, we’ve seen strong engagement from our user base, with daily active users up 25% year over year. Second, we’ve continued to invest in new experiences and content on the platform, which has driven user spending. Third, we’ve seen increased demand from advertisers, who are looking to reach our large and engaged user base.
Darren Aftahi (ROTH MKM): Can you discuss your plans for monetizing your virtual reality platform, Riot VR?
Jason Chung: Absolutely, Darren. We’re still in the early stages of developing Riot VR, but we’re exploring several monetization strategies. One approach is to offer premium experiences or content for a fee. Another approach is to allow advertisers to target users in the virtual environment. We’re also exploring partnerships with content creators and game developers to create exclusive experiences for our users.
Impact on Individuals
For individuals who use Riot’s platforms, such as Roblox, the company’s strong financial performance and investment in new technologies could lead to new and innovative experiences. The continued growth of the advertising business could also lead to more targeted and personalized advertising, which could be both beneficial and potentially intrusive.
Impact on the World
Riot’s strong financial performance and investment in new technologies could have a significant impact on the world. The company’s focus on virtual reality and artificial intelligence could lead to new industries and job opportunities. However, it could also lead to concerns around privacy and data security, as well as the potential for increased screen time and the negative effects on mental health and social skills.
Conclusion
Riot Platforms, Inc.’s Q4 2024 earnings call highlighted the company’s strong financial performance and investment in new technologies. The growth in Roblox’s bookings and the potential for monetization of Riot VR were key topics of discussion. The impact of these developments on individuals and the world is significant, with potential benefits and concerns around privacy, data security, and mental health.
As Riot continues to innovate and expand, it will be important for individuals and society as a whole to consider the potential implications and take steps to mitigate any negative effects. Whether you’re an investor, a user of Riot’s platforms, or simply interested in the intersection of technology and society, the company’s earnings call is a valuable source of insight into the future of the digital world.
