Roku announced today that is has withdrawn its 2020 financial outlook and is providing shareholders with an update on metrics from the beginning of the year, due to the uncertain financial climate.
“While we believe that our offerings to consumers, content providers and advertisers will enable our Company to deliver value in these uncertain times, the wider business and consumer impacts, as well as the duration of the pandemic, are unclear and thus we are withdrawing our prior 2020 outlook,” said Steve Louden, Roku’s Chief Financial Officer.
Roku estimates that it has 39.8 million active accounts as of March 31, a 3 million account increase in just the first three months of 2020. The company is also estimating 13.2 billion streaming hours for the first quarter. Roku also expects revenue to be between $307-$317 million for the first quarter.
Roku has been “working closely with advertisers to help update their plans to reflect new viewing patterns and adjust their overall marketing mix which has been affected by social distancing. While we expect some marketers to pause or reduce ad investments in the near term, we believe that the targeted and measurable TV ads and unique sponsorship capabilities that Roku offers are highly beneficial to brands today,” according to CEO Anthony Wood.
Roku will release its Q1 financial results on Thursday, May 7.
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