As part of their Q3 2018 financial results, Roku announced that they now have 23.8 million active accounts. The company has seen active accounts grow by nearly 2 million since last quarter and over 7 million since the third quarter last year.
Much of the user growth is coming from licensing the Roku platform to Smart TV manufacturers. The company reported that more than half of new accounts are coming from Roku TVs.
The company continues to focus on growing their platform business which surpassed $100 million in revenue for the first time, up 74% year-over-year. Over two-thirds of their platform revenue comes from ads and sponsorship on the Roku interface and The Roku Channel.
The growth in the platform business means that Roku Players, like Roku Streaming Stick, now only make up 42% of the company’s revenue. Player revenue only grew 9% year-over-year, which shows the importance of their integration into Smart TVs to their growth.
Despite the impressive quarter, the company stock dropped over 10% based on a weak profit forecast for the holiday quarter.