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This restructuring is expected to result in a charge ranging from $45 million to $65M, the company said in a filing.
Roku shares rose 8% in early Wednesday trade.
The majority of these charges will be incurred in the third quarter of the year, and the workforce reduction is anticipated to be substantially completed by the end of the fourth quarter, Roku added.
Roku had previously announced a broader restructuring plan in March, which involved cutting about 6% of its workforce.
The company now expects its third-quarter net revenue, excluding restructuring, to be in the range of $835M to $875M, compared to a previous outlook of approximately $815M.
Additionally, the company anticipates its adjusted EBITDA for the third quarter, excluding restructuring effects, to range from -$40M to -$20M.
Roku also sees an impairment charge of $160M to $200M related to the ceasing use of certain office facilities.
Truist analysts commented:
“We view 3Q results as satisfactory and view the additional cost actions as positive,” the analysts said briefly after Roku announced the news.
