Roku $ROKU 2Q21 Earnings π
- Rev $645m +81% π
- Gross Profit $338m +130% π margin 52% +1120bps β
- EBIT $69m +164% π margin 11% +2256bps β
- Adj EBITDA $122m +36X π margin 19% +1992bps β
- 6M OCF $144m +81% π
- Rev $645m +81% π
- Gross Profit $338m +130% π margin 52% +1120bps β
- EBIT $69m +164% π margin 11% +2256bps β
- Adj EBITDA $122m +36X π margin 19% +1992bps β
- 6M OCF $144m +81% π
$ROKU Segment & Biz Metrics πͺπ»
β‘οΈ Platform Driver of Growth & Profitability
- Plat Rev $532m +117% π
- Player Rev $112m +1% β‘οΈ
- Plat Gross Profit $345m +149% π margin 65% +820bps β
β‘οΈ Strong ARPU Growth
- Accts 55m +28% βοΈ
- Strming Hrs 17.4b +19% βοΈ
- ARPU $36.46 +46% β¬οΈπͺπ»
β‘οΈ Platform Driver of Growth & Profitability
- Plat Rev $532m +117% π
- Player Rev $112m +1% β‘οΈ
- Plat Gross Profit $345m +149% π margin 65% +820bps β
β‘οΈ Strong ARPU Growth
- Accts 55m +28% βοΈ
- Strming Hrs 17.4b +19% βοΈ
- ARPU $36.46 +46% β¬οΈπͺπ»
β‘οΈ $ROKU Outperformanceπͺπ»
βOn a YOY basis, Roku significantly outperformed the industry, with Rokuβs streaming hours increasing nearly +19% globally, compared to a nearly -19% decline in traditional TV consumption and a nearly 2% decline in TV streaming... according to Nielsen.β
βOn a YOY basis, Roku significantly outperformed the industry, with Rokuβs streaming hours increasing nearly +19% globally, compared to a nearly -19% decline in traditional TV consumption and a nearly 2% decline in TV streaming... according to Nielsen.β
β‘οΈ LT Secular Trend -TV Streaming
βWe are pleased with our strong performance in Q2, and are excited about the road ahead. Roku remains very well positioned to benefit from the long-term secular trend of audiences, content & advertisers shifting to TV streaming around the globe.
βWe are pleased with our strong performance in Q2, and are excited about the road ahead. Roku remains very well positioned to benefit from the long-term secular trend of audiences, content & advertisers shifting to TV streaming around the globe.
β‘οΈ The DTC Streaming Platform
βOur success during the Upfronts this year, the clear value we offer partners seeking to build their own DTC streaming businesses, and the continued acceleration of The Roku Channel flywheel are evidence of the competitive advantages we have built.β
βOur success during the Upfronts this year, the clear value we offer partners seeking to build their own DTC streaming businesses, and the continued acceleration of The Roku Channel flywheel are evidence of the competitive advantages we have built.β
β‘οΈ Player margins under pressure near-term π
- Tight component supply conditions and shipping constraints continued to increase costs faster than expected.
- Insulated increased costs in 2Q, causing player margins to βοΈ.
- Expect to worsen into 2H21 and continue into 2022.
- Tight component supply conditions and shipping constraints continued to increase costs faster than expected.
- Insulated increased costs in 2Q, causing player margins to βοΈ.
- Expect to worsen into 2H21 and continue into 2022.
β‘οΈ Platform monetisation remains strong & to dominate
βWithin Platform segment, monetization remains strong, and while there will be a slowdown in YoY growth relative to last yearβs pandemic-driven acceleration,β¦expect continued significant growth in the 2nd half of the year.β
βWithin Platform segment, monetization remains strong, and while there will be a slowdown in YoY growth relative to last yearβs pandemic-driven acceleration,β¦expect continued significant growth in the 2nd half of the year.β
Final Thoughts on $ROKU:
β‘οΈ Continues to benefit from long-term secular shift to TV streaming. Players had always been a subsidy to grow the Platform biz, not too bothered by lower margins. Combination of strong growth, increasing market share and improving profitability.
β‘οΈ Continues to benefit from long-term secular shift to TV streaming. Players had always been a subsidy to grow the Platform biz, not too bothered by lower margins. Combination of strong growth, increasing market share and improving profitability.
β’ β’ β’
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