After reports from Meta Platforms Inc. and Alphabet Inc. created further jitters about the state of digital advertising in the uncertain economic climate, it will soon be Roku Inc.’s
turn to share how macroeconomic trends are affecting marketing spending in the connected-TV environment. The maker of streaming technology is due to report third-quarter results after Wednesday’s closing bell. Here’s what to expect when the company posts its numbers.
What to expect Earnings: Analysts tracked by FactSet expect Roku to report a loss of $1.29 a share on a GAAP basis for the third quarter; the company logged earnings per share of 48 cents in the year-earlier period. According to Estimize, which crowdsources projections from hedge funds, academics and others, the average estimate is for a $1.22 loss per share. Analysts surveyed by FactSet also expect the company to deliver a loss of $74 million on the basis of adjusted earnings before interest, taxes, depreciation and amortization, whereas Roku generated positive adjusted Ebitda of $130 million on the non-GAAP metric in the year-earlier third quarter. Revenue: The FactSet consensus calls for $696 million in third-quarter revenue, up from $680 million a year before. On Estimize, the average projection is for $704 million. Stock movement: Roku shares h …