Roku Stock Tumbles on Disappointing Outlook, Plan To Withhold Streaming Numbers

Core Insights - Roku shares fell 15% in premarket trading following a disappointing fourth-quarter outlook and the decision to stop issuing quarterly household streaming figures starting next year [1][2] - For the fourth quarter, Roku expects a net loss of $65 million, exceeding the consensus loss of $57.6 million from analysts [1][2] - Roku forecasts total net revenue of $1.14 billion for the fourth quarter, aligning with estimates [2] Group 1 - Roku's decision to withhold streaming household numbers follows a similar move by Netflix, which announced it would stop reporting subscriber data starting in 2025 [3] - In the third quarter, Roku reported 85.5 million streaming households, an increase from 75.8 million a year ago and 83.6 million from the previous quarter [4] - Roku achieved over $1 billion in revenue for the first time, reporting $1.06 billion, a 16% year-over-year increase [4] Group 2 - Roku narrowed its net loss to $9.03 million, or $0.06 per share, which was better than projections [4] - Roku shares had already lost 15% of their value through the close of trading on Wednesday prior to the announcement [4]