Community Corner
Los Gatos-Based Roku Surprises Wall Street: Report
Viewership up but television advertising revenue plummets amid coronavirus crisis.
LOS GATOS, CA — As a pandemic rages, the economy craters and most remain under quarantine, it should be no big surprise that people confined to their homes are doing what they can stay entertained as the world around us burns.
Nevertheless, Wall Street underestimated the extent to which the above-mentioned conditions would impact a Los Gatos-based streaming service's viewership numbers.
Viewers streamed 14.6 billion hours of Roku content during the second quarter, which helped it easily surpass revenue expectations despite plummeting television advertising revenue, MarketWatch reports.
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The company reported a $43.1 net loss for the second quarter, or 35 cents a share, which beat the 52-cent per share loss analysts projected, the report said.
The Silicon Valley streaming service reported $356.1 in revenue for the second quarter, far exceeding the $316 million analysts projected according to the report.
Find out what's happening in Los Gatosfor free with the latest updates from Patch.
Roku users streamed just 9.4 billion hours in the second quarter of last year, the report said.
Read more at MarketWatch
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