Losses Persist for Roku's Player Business as Input Costs Mount
Roku (NASDAQ: ROKU) reported first-quarter 2022 results after the markets closed on April 28. Once buoyed by the pandemic, the streaming content enabler is now seeing the effects of the outbreak turn into a headwind.
Labor shortages are decreasing economic output and, combined with robust consumer demand, are pushing the cost of its player equipment higher. Roku management has decided to absorb those higher costs rather than pass them along to customers, resulting in a gross loss in its player segment.
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Source Fool.com
