Roku Inc (NAS:ROKU)
$ 76.02 -1.43 (-1.85%) Market Cap: 11.00 Bil Enterprise Value: 9.57 Bil PE Ratio: 0 PB Ratio: 4.60 GF Score: 82/100
Back to the Transcripts List

Q2 2024 Roku Inc Earnings Call Transcript

Aug 01, 2024 / 09:00PM GMT
Release Date Price: $55.33 (-4.95%)

Key Points

Positve
  • Roku Inc (ROKU) reported a 14% year-over-year increase in streaming households, reaching 83.6 million.
  • Streaming hours grew by 20% year-over-year, indicating strong user engagement.
  • Platform revenue increased by 11% year-over-year, driven by both streaming services distribution and advertising activities.
  • Roku Inc (ROKU) achieved its fourth consecutive quarter of positive adjusted EBITDA and generated positive free cash flow.
  • The company expanded its retail distribution for Roku-branded TVs, contributing to a 39% year-over-year increase in devices revenue.
Negative
  • Platform gross margin remained relatively flat year-over-year, while devices gross margin was negative 11%, indicating challenges in the devices segment.
  • The Media and Entertainment (M&E) vertical continues to face challenges, impacting overall platform revenue growth.
  • Despite the growth in streaming households and hours, the Average Revenue Per User (ARPU) remained flat year-over-year at $4.68.
  • The company anticipates a challenging year-over-year growth rate comparison within streaming services distribution for Q3.
  • Roku Inc (ROKU) expects device margins to remain in the negative low double digits for the next several quarters due to the ramp-up of Roku-branded TVs.
Operator

Ladies and gentlemen, thank you for standing by. Welcome to the second-quarter 2024 Roku earnings conference call. (Operator Instructions) Please be advised that today's conference is being recorded.

I would like now to turn the conference over to Conrad Grodd, Vice President of Investor Relations. Please go ahead.

Conrad Grodd
Roku Inc - Vice President, Investor Relations

Welcome to Roku's second-quarter 2024 earnings call. On today's call are Anthony Wood, Roku's Founder and CEO; Dan Jedda, our CFO; and Charlie Collier, President, Roku Media.

Our full results and additional management commentary are available in our shareholder letter on our IR website at roku.com/investor. On this call, we'll make forward-looking statements, which are subject to risks and uncertainties. Please refer to our shareholder letter and periodic SEC filings for risk factors that could cause our results to differ materially from these forward-looking statements.

We'll also present GAAP and non-GAAP financial measures. Reconciliations of non-GAAP

Already have an account? Log in
Get the full story
Start 7-Day Free Trial
Access to All Earning Calls and Stock Analysis
30-Year Financial on one screen
All-in-one Stock Screener with unlimited filters
Customizable Stock Dashboard
Real Time Insider Trading Transactions
8,000+ Institutional investors’ 13F holdings
Powerful Excel Add-in and Google sheets Add-on
All data downloadable
Quick customer support
And much more...
30-Day 100% money back guarantee
You are not charged until the trial ends. Subscription fee may be tax deductible.
Excellent
4.6 out of 5 Trustpilot
Research Tools
All-In-One Screener Stock Ideas Stock List Guru List Guru Real-Time Picks Insider List Insider Trades Economic Indicators Sector & Industry Performance DCF Calculator Discussion Board
Product
Pricing Plans Excel Add-In Google Sheets Add-on Data API Stock Comparison Table Manual of Stocks Mobile App 中文
Education
Financial Glossary Tutorials FAQ Schedule Free Session Buffett Indicator Shiller P/E Yield Curve Today U.S. Inflation Rate Global Market Valuation Fed Net Liquidity Buffett Assets Allocation
Company
About GuruFocus Career Contact Us Advertise Site Map Term of Use Privacy Policy Referral Program Partner Program
Survey

We'd love to learn more about your experiences on GuruFocus.com and how we can improve!

Take Survey
Follow Us
download GuruFocus on Apple store download GuruFocus on Google Play
Disclaimers
GuruFocus.com is not operated by a broker or a dealer. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The individuals or entities selected as "gurus" may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. Gurus may be added or dropped from the GuruFocus site at any time. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes are provided by QuoteMedia, Inc. (CSI). Company fundamental data is provided by Morningstar. Analyst estimates data is sourced from both Refinitiv and Morningstar, with priority given to Refinitiv data. Data is updated daily.
© 2004-2024 GuruFocus.com, LLC. All Rights Reserved.