Roku surpassed 30 million active accounts and reported strong revenue growth when it shared its Q2 financial performance on Wednesday afternoon — sending its stock price surging in early after-hours trading.
For the three months ending June 30, the device maker added 1.4 million accounts to hit 30.5 million overall, according to their most recent earnings report. Roku reported its customers streamed 9.4 billion hours of content during the quarter — or about 3.4 hours per day on average — setting a new company record in the process.
Roku’s revenue increased 59% year-over-year, hitting $250.1 million and topping analyst estimates of $224.2 million. The company also reported a narrower dip than anticipated, with a loss of 8 cents per share; analysts projected a loss of 22 cents per share.
“Our business momentum and ongoing investment in areas of competitive differentiation continue to drive growth and attract users, advertisers and content publishers,” Roku said in its letter to shareholders. “This resulted in a robust increase in Active Accounts, healthy growth of streaming hours and continued progress in monetization.”
Roku shares climbed 10% to $111.40 per share soon after the closing bell on Wednesday; if the gains hold as of Thursday morning, Roku will open at a new all-time high. The Los Gatos, California-based company opened the year at about $33 per share.
Roku not only added more viewers this quarter but pulled in more money as well, with average revenue per user increasing $2 from last quarter to $21.06.
And while Roku is best known for devices like the Streaming Stick, its ad business is continuing to grow at breakneck speed. Ad sales and subscriptions increased 86% year-over-year and accounted for $167.7 billion in revenue.
Roku’s performance comes at the same time cable and satellite providers have reported record quarterly subscriber loses. Altogether, Comcast, AT&T, Charter and Dish had about 1.3 million customers cut the cord during Q2.