Shares of Roku surged 14% Friday, notching a brand new 52-week excessive, on earnings that beat Wall Road expectations.
In an interview on CNBC’s “Squawk Field,” CEO Anthony Wooden stated greater than half of U.S. broadband households now watch TV with Roku.
Wooden stated the corporate added greater than 4 million new streaming households throughout its most up-to-date quarter and is on observe to succeed in 100 million streaming households within the subsequent yr.
The corporate’s development was pushed partly by the Roku person expertise, together with selling content material on its residence display, Wooden advised CNBC’s Julia Boorstin.
“We are the No. 1 streaming working system within the nation and in many of the Americas by a large margin,” he stated.
Here is how the corporate carried out for the fourth quarter in contrast with what Wall Road was anticipating, based mostly on a survey of analysts by LSEG:
- Loss per share: 24 cents vs. a lack of 40 cents anticipated
- Income: $1.2 billion vs. $1.14 billion anticipated
The corporate boosted income by 22% to $1.2 billion. It reported a internet loss for the interval of $35.5 million, or 24 cents per share, an enchancment from a internet lack of $78.3 million, or 55 cents per share, throughout the identical quarter a yr earlier.
Roku reported 89.8 million streaming households as of the top of 2024, a 12% year-over-year enhance. Starting subsequent quarter, the corporate not expects to report that metric because it streamlines earnings experiences to give attention to income and profitability numbers.
Roku additionally reported an 18% year-over-year enhance in streaming hours within the fourth quarter, with a give attention to persevering with to develop advert demand via “deeper third-party platform integrations,” the corporate stated in its earnings launch.
“Promoting is a giant a part of our enterprise, and so a giant focus for us in our technique is to proceed to develop demand by working with third-party companions,” Wooden stated.
The corporate is forecasting internet income of $1 billion and gross revenue of $450 million for the primary quarter of 2025.
