Roku IPO Filing Predicts 'All TV Content Will Be Available Through Streaming'
Roku player sales, 59 percent of company revenue, dipped 2 percent in the six months ended June 30 vs. the six months ended July 2 last year, said the company in an SEC filing Friday for an initial public offering.…
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Roku generated $199.7 million in revenue, a 23 percent bump from the first six months in 2016. The company believes “all TV content will be available through streaming.” The company cited research showing over-the-top viewing has become “mainstream” in the U.S.: an April comScore report said 51 million U.S. homes have used streaming, for a 54 percent reach in homes with Wi-Fi. It said live TV still has the majority of viewing hours, but referenced Nielsen numbers saying viewing hours declined in 2015-16 by 1.5 percent among adult viewers, while streaming hours rose. Among the risk factors Roku identified were the highly competitive market, the company’s past operating losses and the possibility it “may never achieve or maintain profitability” plus intellectual property issues if copyright holders assert claims or bring litigation against developers of channels distributed on its platform.