Roku Inc., the maker of set-top boxes consumers use to watch Netflix and other streaming services, slumped in late trading after forecasting a wider-than-expected fourth-quarter loss and saying advertisers’ budgets are under pressure.
The adjusted loss this quarter may come to $135 million before interest, taxes, depreciation and amortization, Roku announced Wednesday. That’s three times the $45.5 million analysts were expecting.
Roku is the latest technology or media company to announce weakness in advertising sales. The company said it expects a tough economy to pressure consumers and advertiser spending through the holiday season.
“We expect these conditions to be temporary, but it is difficult to predict when they will stabilize or rebound,” Roku said in a letter to shareholders.
