Roku Inc. ( (ROKU) ) has released its Q1 earnings. Here is a breakdown of the information Roku Inc. presented to its investors.
Claim 70% Off TipRanks This Holiday Season
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
Roku Inc. is a leading player in the streaming industry, providing a platform that connects viewers to their favorite streaming content, while also enabling advertisers to engage with consumers through unique capabilities. The company is headquartered in San Jose, California, and offers a range of streaming players and TV-related audio devices across the U.S. and select international markets.
In its Q1 2025 earnings report, Roku Inc. announced a 16% year-over-year increase in total net revenue, reaching $1.021 billion. The company highlighted significant growth in its Platform revenue, which rose by 17% year-over-year, driven by video advertising and streaming services distribution. Roku’s strategic focus remains on enhancing the Roku Experience to boost engagement, ad reach, and subscriptions.
Key financial metrics from the report include a gross profit of $445 million, up 15% year-over-year, and streaming hours reaching 35.8 billion, an increase of 5.1 billion hours compared to the previous year. The Roku Channel achieved the milestone of becoming the second most engaged app on the platform in the U.S. Additionally, Roku announced the acquisition of Frndly TV to bolster its subscription service offerings.
Looking ahead, Roku reaffirms its full-year 2025 outlook with expected Platform revenue of $3.950 billion and Adjusted EBITDA of $350 million. The company remains optimistic about its growth trajectory, despite macroeconomic uncertainties, and is committed to achieving positive operating income by 2026.