Roku, Inc. has recently released its 10-Q report, providing a detailed look into the company's financial condition and results of operations. The company operates a TV streaming platform in the United States and internationally, with two segments * Platform and Devices. The streaming platform allows users to access TV shows, movies, news, sports, and more. Roku, Inc. was incorporated in 2002 and is headquartered in San Jose, California.
The report discusses the company's business conditions and macroeconomic factors, noting risks related to the evolving macroeconomic environment and the uncertainty surrounding international trade relations. It also outlines key performance metrics and non-GAAP measures, including Streaming Hours, Platform Revenue, Adjusted EBITDA, and Free Cash Flow.
In the three months ended June 30, 2025, Roku streamed 35.4 billion hours, reflecting a 17% increase from the same period in 2024. Platform revenue for the same period was $975.5 million, compared to $824.3 million in 2024. Adjusted EBITDA for the three months ended June 30, 2025, was $78.2 million, up from $43.6 million in 2024. Free Cash Flow for the trailing twelve months ended June 30, 2025, was $392.0 million, compared to $317.9 million in 2024.
The report also provides a detailed breakdown of the components of results of operations, including revenue from Platform and Devices, cost of revenue, operating and other expenses, and income tax expense.
In the three months ended June 30, 2025, Platform revenue accounted for 88% of total net revenue, while Devices revenue accounted for 12%. The total cost of revenue was 55% of total net revenue, and the gross profit was 45%. The operating expenses for the same period were 47% of total net revenue, resulting in a net income of 1%.
The market has reacted to these announcements by moving the company's shares -15.06% to a price of $79.98. Check out the company's full 10-Q submission here.
