Roku said it expected two of its key revenue drivers – advertising and streaming material sales – to come under further pressure in the second half of the year, sending the company’s shares down 25% in after-hours trading.
“We are in an economic environment defined by fears of recession, inflationary pressures, rising interest rates and ongoing supply chain disruptions,” the company said in a letter to investors Thursday in which it announced second-quarter results. He predicts that ad spending will continue to be negatively impacted as a result. “We also believe that consumer discretionary spending will continue to moderate, depressing both Roku TV and Roku player sales.”
Roku heading for second-quarter loss on lower ad spending
Source link Roku heading for second-quarter loss on lower ad spending