Mar 30, 2023
Streaming Device-Maker Roku to Cut About 6% of Workforce
(Bloomberg) -- Roku Inc. is restructuring its business and cutting about 200 employees, or 6% of its workforce, in the process.
An unspecified amount of unused office space will be vacated or sublet as Roku moves to “prioritize projects the company believes will have a higher return on investment,” it said in a regulatory filing Thursday.
San Jose, California-based Roku, which makes set-top boxes used to stream services like Netflix, said it estimated one-time costs of $30 million to $35 million to cover severance payments and other charges. The majority of job cuts would be completed by the end of the second quarter of the fiscal year, according to the filing.
Shares of Roku fell 1.1% at 10:16 a.m. in New York.
Roku had $1.9 billion in cash and equivalents on its book as of March 10, according to a regulatory filing earlier in March, including about $487 million with Silicon Valley Bank. The company said at the time it believed it had enough funds to meet its needs for the next 12 months and beyond.
(Updates shares in fourth paragraph)
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