Vizio Reports Growth in Platform Revenue and SmartCast Usage

Vizio recently published its financial report for Q2’23. The company’s net revenue was $394.4 million, a slight decrease from $408.9 million in the previous year. Despite this decrease in net revenue, the company’s Platform+ segment reported net revenue of $142.3 million, a significant 28% growth. Gross profit also saw an increase, going up by 17% to $86.1 million, with Platform+ gross profit rising by 23% to $85.8 million.

Net income for the period was reported at $1.9 million, down from $2.3 million in Q2’22. However, Adjusted EBITDA, however, increased by 59% to $18.1 million. SmartCast average revenue per user (ARPU), a key measure of platform monetization, went up by 18% to $30.55.

Key business highlights for Q2’23 include an increase in SmartCast active accounts to 17.6 million, which streamed 5.0 billion hours. It introduced a reimagined home screen experience, enhancing user engagement. Additionally, SmartCast hours per SmartCast active account grew by 5% YoY to 94 per month.

Other significant announcements include the debut of Clean Break, a series to provide exclusive brand sponsored content, and expansion in direct ad client relationships by 25% compared to Q2’22, with 80 net new advertisers. Vizio also launched Peacock Preview, offering access to premium content and a seamless engagement with the Peacock streaming app.

The company further expanded its offerings by adding WatchFree+ channels, including local channel category collection, Project Runway, and Family Feud Classic, making a total of over 290 FAST channels. They launched new apps such as Weather Channel, QVC/HSN, Wild Earth, and Power Nation, bringing the total number of built-in apps to over 170.

Q2’23 Highlights (in millions)Three Months Ended June 30, 2023Three Months Ended June 30, 2022% Change
Financial Highlights
Net Revenue
Total Net Revenue$394.4$408.9(4)%
Gross Profit
Total Gross Profit$86.1$73.917%
Operating Expenses$79.8$69.814%
Net Income$1.9$2.3(17)%
Adjusted EBITDA$18.1$11.459%
Operational Metrics
Smart TV Shipments1.01.1(11)%
SmartCast Active Accounts (as of)17.616.110%
Total Vizio Hours8,8528,1549%
SmartCast Hours4,9524,28116%
SmartCast ARPU$30.55$25.8718%