Streaming company Roku Inc (NASDAQ:ROKU) reported second-quarter financial results after the market close Wednesday.
What Happened: Roku reported record revenue growth with a total of $645 million, up 81% year-over-year and ahead of the $618.5 million analyst estimates. Platform revenue of $532.3 million was up 117% year-over-year and player revenue of $112.8 million was up 1%.
Earnings of 52 cents per share came in well ahead of the 12-cent per share estimates.
The company reported 55.1 million active accounts at the end of the second quarter, gaining 1.5 million since the end of the first quarter.
Streaming hours of 17.4 billion was down 1.0 billion from the first quarter.
The company’s average revenue per user of $36.46 on a trailing 12-month basis was up 46% year-over-year.
The Roku Channel saw strong results in the second quarter, according to the company. The acquisition of Quibi and push for original content led to a record number of unique Roku Channel accounts and streaming hours doubling.
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What’s Next: Roku is guiding for third-quarter revenue to be in a range of $675 million to $685 million. Revenue would be up 51% year-over-year at the mid-point of the range.
The company warned of increased operating expenses in the second half of 2021.
“Roku remains very well positioned to benefit from the long-term secular trend of audiences, content and advertisers shifting to TV streaming around the globe,” said founder and CEO Anthony Wood.
ROKU Price Action: Roku shares are down 6% after-hours to $396.
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