It will also reduce office space and look at other sources of cost savings.
In a filing with the Securities and Exchange Commission, Roku said the company would “implement additional measures to continue to bring down its year-over-year operating expense growth rate by consolidating its office space utilization, performing a strategic review of its content portfolio, reducing outside services expenses, and slowing its year-over-year headcount expense growth rate through a workforce reduction and limiting new hires, among other measures.
Roku raised its third-quarter revenue outlook to $835 million to $875 million not including impairment charges, up from $815 million. “We view 3Q results as satisfactory and view the additional cost actions as positive,” writes Truist analyst Matthew Thornton. Investors like what they see. Roku stock has gained 8.3% in premarket trading to $ 90.64. Its stock has more than doubled in 2023.
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