Roku Inc (NASDAQ:ROKU) shares traded higher in after-hours Thursday after the video streaming company reported better-than-expected second-quarter results.
Roku stock rose nearly 9%.
The company reported a loss per share of $0.76 on revenue of $847.2 million, better than the consensus for a loss per share of $ 1.27 on revenue of $773M. Revenue rose 11% year-over-year.
“We delivered solid results in Q2, growing scale, engagement, and monetization. The operating environment remains largely unchanged from Q1, with strong consumer demand for Roku TV models while TV advertising remains muted industry-wide,” the company said in a shareholder letter.
“We have begun to see some ad verticals improve, which resulted in modest YoY PlaLorm revenue growth in Q2, and we are well positioned to reaccelerate growth as the ad market recovers. We continue to moderate the YoY growth rate of operating expenses and remain committed to our plan to deliver positive Adjusted EBITDA for the full year 2024.”
On the outlook front, the company guided to Q3 revenue of $815M, better than the expected $810M. The company expects to report a negative adjusted Ebitda of $50M.
“Overall, trends that we observed in Q1 played out in Q2, and we expect them to continue throughout the year. While consumer spend is showing some modest growth, macro concerns and uncertainty remain,” the company further noted.