Roku (ROKU) Q4 2025 earnings summary

Executive summary

• Achieved record platform revenue growth of 18% year-over-year in 2025, surpassing $1.2 billion in Q4 and expanding streaming households globally.

• Adjusted EBITDA reached $421 million for the year, with net income of $80 million in Q4, both company records.

• Strategic investments in platform monetization, AI integration, and expansion of owned and operated services like Howdy and Frndly are driving engagement and revenue.

Financial highlights

• Q4 platform revenue grew over 18% year-over-year, with Adjusted EBITDA of $169 million and net income of $80 million.

• Full-year Adjusted EBITDA was $421 million, up 255 basis points in margin, and free cash flow reached $484 million, more than doubling year-over-year.

• Share buybacks totaled $150 million in 2025, achieving near 0% dilution in Q4.

Outlook and guidance

• Q1 2026 platform revenue growth expected to exceed 21%, with full-year guidance at 18%.

• Adjusted EBITDA guidance for 2026 is $635 million, representing over 50% year-over-year growth and margin expansion to 11.6%.

• Free cash flow is expected to outpace EBITDA, with a path to $1 billion by 2028.