The browser ignores all comments except those on that first 'header' line, which 'sets the scene' for your scene. Next, you list objects in your file known as nodes. Nodes are the basic building blocks of scenes listed as a scene graph. Each node has fields that have specific information about that node. For example, you could have a Material node that describes the outside of an object and you could have a field within that node which could describe reflective surface of the object.
Nodes can have order, and that order can also affect the objects in the scene.
Another field could explain colours in the nodes. As you can see, VRML is written in a sort of En-glish text which describes the scene. Hence the name 'scene description language', as I mentioned earlier. As you have probably noticed, your simple text file can become very complicated very quickly. Isn't there a way of drawing something in 3D and saving it as a VRML file.