Roku’s second-quarter 2023 earnings soundly beat Wall Street expectations, while it still sounded a note of caution about “uncertainty” in the U.S. ad market.
The company reported Q2 revenue of $847.2 million, up 11%, and a net loss of $107.6 million (-$0.76 per share). Analysts expected an adjusted loss of $1.28 per share on revenue of $773.49 million. Operating expenses climbed 8%, to $504 million, but declined sequentially from $550 million in Q1.
Roku added 1.9 million new active streaming accounts in the period to reach 73.5 million, versus 71.6 million the prior quarter and up 16% year over year. Platform revenue was $744 million, up 11%. Roku’s Platform segment comprises ads sales; revenue from distribution deals for streaming services including FAST channels; media and entertainment promotions; and Roku Pay.
“While Q2 Platform revenue exceeded our expectations, the macro environment continued to create uncertainty with the total U.S. advertising market flat YoY in Q2,” Roku execs wrote in their letter to shareholders.
For the third quarter, Roku said it expects total net revenue of roughly $815 million, total gross profit of roughly $355 million, and adjusted EBITDA of negative $50 million.
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