(Bloomberg) — Roblox Corp.s' (RBLX) efforts to win over new players has earned the popular video-game platform its first investment-grade rating, after S&P Global Ratings upgraded the firm.

The company’s issuer credit rating was raised to BBB-, the lowest high-grade level, from BB+, the highest junk grade, according to a statement from S&P. The ratings firm cited growth in Roblox’s user base and its gross bookings, as well as increasing free operating cash flow

The gaming platform has been making a concerted effort to attract an older demographic of players who can spend more money on the platform, after making massive inroads with the under 13 crowd during the pandemic. Investment-grade credit ratings can translate to lower borrowing costs for a company, because a wider array of investors are eligible to buy high-grade securities.

Typically two of the three major rating firms need to deem a company high-grade for the firm to be eligible for investment-grade indexes. Roblox and its debt is still rated junk by Moody’s Ratings, while Fitch Ratings doesn’t appear to have assigned the company a grade.

Roblox shares have more than doubled this year and last hit a record in July after the company reported daily active users and bookings in the second quarter that beat analysts’ expectations. The company’s record-breaking game spurred much of the growth, attracting 22 million concurrent users in July.

Roblox surpassed 100 million daily active users for the first time ever in the quarter.

S&P said Roblox’s outlook is positive, meaning its ratings could be raised further over the medium-term. The company had net long-term debt of less than $1 billion as of June 30, according to a recent securities filing.

(Updates with context on Roblox’s earnings and debt profile throughout.)

©2025 Bloomberg L.P.