Rocku does not worry about the Amazon or anyone else who buries his cow.
The electronics maker has become an advertising business in recent years, thanks to the small part of Roku Channel, a video-supported, free video streaming service available on Roku and on the network. Last month, however, Amazon launched a competitive service called Freedive from its IMDb, which threatens to steal the viewers and advertising dollars from Roku's offer. But Steve Lowen, Chief Financial Officer of Roque, does not see it. Amazon's entry-along with similar services from YouTube, Vudu, and others-simply serve as a "validation" for Roku Channel and the advertised streaming advertising business as a whole.
"We are strong supporters of content backed up by advertisements," Looden told Business Insider in an interview Thursday, as soon as the company announced its fourth-quarter results.
Read this: Amazon is looking at another market ̵
Roku surpassed analysts' expectations as revenue from their business platform –
The company for streaming video is in a better position than many of its rivals to take advantage of the advertised video market, Louden said, his control not only of streaming channel, but also a streaming media platform – through its Roku streaming boxes and intellect TVs that work with its operating system – provides important insights into consumer viewing habits that competitors do not have, he said. Through its platform, Roku also has the ability to direct viewers to Roku Channel and other places that run their video ads. "That puts us in a strong position," he said.
Amazon also has its own platform in the form of its Amazon TVs, and there is a lot of data on watching habits through it, their Amazon Fire tablets and its Prime Video service. But Louden looked careless, suggesting that Amazon and many of Roku's other competitors could not fully compare to him. Roku can offer advertisers both the data they need to target their ads and a large audience for them. "This is where many people have gaps," he said.
Here's what Roku reported and how he compared it to the expectations of Wall Street:
- Fourth quarter revenue (Q4): $ 275.7 million. Analysts predicted $ 262.4 million.
- Earnings per share for the fourth quarter (EPS) : 5 cents. Wall Street expected 3 cents per share.
- First Quarter Revenue (Q1) (Company Leadership): $ 185 million to $ 190 million. Analysts predicted $ 188.8 million. Roku predicts he will lose $ 28 million to $ 32 million, resulting in a loss of 23 to 26 cents a share if we assume that his share remains stable. Wall Street predicts a loss of 12 cents per share.
- 2019 Yearly Income (Guidelines): 1 Billion Dollars to 1,025 Billion Dollars. Analysts predicted $ 985.4 million. The company predicts a loss of between $ 80 and $ 90 million, which is about 65 cents to 73 cents per share if we assume its share remains the same. Analysts predicted a loss of 23 cents per share for the whole year.
Roku's shares jumped by $ 2.72, or 5%, to $ 54.20 in trading after hours. Its shares closed regular trading with $ 2.16, or 4%, to $ 51.48.