Roku will have 72M users by 2022, analyst says

As Roku plots the next stages of its international expansion plans, the company is being tagged by analysts for some impressive growth over the next few years.

Macquarie analyst Tim Nollen predicts Roku will have 72 million active users by 2022, up from the 30.5 million the company reported in August. That most recent total was up 39% from the 22 million active accounts Roku reported for the same quarter in 2018.

Nollen said 72 million active accounts for Roku could drive the company’s platform revenue to $2.3 billion and overall revenue of $2.7 billion, nearly tripling from 2019 guidance.

“The shift to connected television viewing that has been underway in the U.S. for the past few years will follow internationally in the coming years,” wrote Nollen in a research note. “Roku has built a leading position in the U.S., and its devices will find a ready market abroad.” He also said that Roku’s smart TV operating system integrations will be the bigger growth opportunity.

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Roku last month announced an expansion of its Roku TV licensing program into Europe. Hisense is the company’s first European partner, and is expected to launch Roku TV models in the U.K. in the fourth quarter.

The European expansion comes after Roku has already established itself as a smart TV platform leader in the U.S. The company estimates that in the first half of 2019 more than one-in-three smart TVs sold in the U.S. were Roku TVs.

“While consumers love Roku TV’s simplicity and advanced features, TV manufacturers benefit from the low cost of manufacturing, a variety of technology options, and support from Roku. The ability to quickly bring to market a leading smart TV experience that is regularly updated by Roku and is packed with entertainment gives TV manufacturers an edge in the competitive TV business,” said Roku CEO Anthony Wood in a statement. “We are pleased to bring the Roku TV licensing program to Europe and look forward to the first Hisense Roku TVs in market this year.”


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