Roku, Inc. (ROKU) reported a strong third quarter for 2025, with platform revenues increasing 17% year-over-year to $525 million in gross profit. The company’s adjusted EBITDA rose by 19%, and platform gross margin reached 51.5%. For Q4 2025, Roku anticipates revenues of $1.35 billion—up 12% year-over-year—with platform revenue growth projected at 15% and an expected gross margin of 52%. Full-year estimates indicate $4.11 billion in platform revenue and $395 million in adjusted EBITDA.
Roku maintains its position as the leading TV operating system in the U.S., Canada, and Mexico, capturing over 50% of U.S. broadband households. Fourth-quarter streaming hours are expected to reach 38.77 billion, marking a 13.7% increase from the previous year. The company’s advertising growth, bolstered by new advertisers and automated ad buying, continues to outpace broader digital ad markets, while subscription growth, driven by new services and content enhancements, is diversifying revenue streams.
In recent performance, Roku achieved a 42.9% stock return over the past six months, significantly outperforming industry trends. The company continues to benefit from a lean operational model, allowing for more efficient monetization compared to competitors such as Netflix and Warner Bros. Discovery.
