Roku Inc

Latest Results (31.07.2026):

Roku Inc. reported strong Q1 2026 results: total net revenue of $1.25 billion (up 22% YoY), Platform revenue of $1.13 billion (up 28% YoY), Net Income of $86 million and Adjusted EBITDA of $148 million (up ~165% YoY). Free Cash Flow (TTM) reached a record ~$539 million, and the company repurchased $100 million of stock in the quarter. Roku reiterated growth targets and raised its full‑year outlook.

Revenue & growth

Total net revenue was $1.2489B (+22% YoY). Platform (now reported as Advertising + Subscriptions) was $1.1312B (+28% YoY). Streaming hours were 38.7B (+8% YoY) and The Roku Channel ranked #2 by engagement in the U.S.

Profitability

Total gross profit was $565M (+27% YoY). Platform gross margin was 51.6%. Roku reported GAAP Net Income of $85.7M and Adjusted EBITDA of $148.4M. Devices gross margin was a loss (-16.3%).

Advertising

Advertising revenue was $612.7M (+27% YoY) with a 60.5% gross margin. Programmatic demand grew strongly (third‑party programmatic ad spend +40% YoY), Ads Manager users more than doubled YoY, and Home‑Screen Marquee Ad Video adoption expanded materially (advertisers doubled, spend tripled YoY).

Subscriptions

Subscriptions revenue was $518.5M (+30% YoY) with a 41.1% gross margin. Q1 was the company’s highest quarter for Premium Subscription sign‑ups; Roku expanded Howdy distribution (Prime Video, mobile apps, Mexico) and added Apple TV and Peacock to Premium Subscriptions.

Devices & scale

Devices revenue was $117.6M (down 16% YoY) with negative device gross margin (~-16.3%), driven by lower player sales and promotional pricing. Roku now powers over 100 million streaming households worldwide and is expanding OEM licensing to drive TV model unit volume in H2 2026.

Cash flow & capital allocation

Free Cash Flow (TTM) was ~$538.8M (all‑time high). Cash and short‑term investments totaled roughly $2.38B (cash $1.65B + short‑term investments $730M). The company repurchased $100M of shares in Q1 (total $250M repurchased since Q3 under a $400M program).

Outlook

Q2 2026 guidance: Platform revenue ~+20% YoY, Devices down high‑single digits, total revenue ~ $1.3B, gross profit ~$580M, Adjusted EBITDA ~$170M. Full‑year 2026: raising outlook to Platform ~$5.0B (~+21% YoY), Devices ~$535M, total revenue ~$5.5B, Adjusted EBITDA ~$675M. Company reiterates goal of $1B free cash flow by 2028, if not sooner.