Roku Inc.

What does Roku own?
Roku owns and operates a streaming platform ecosystem that includes Roku OS (licensed to third-party TV manufacturers), a line of Roku streaming players and Roku-branded smart televisions, The Roku Channel (a free ad-supported streaming service), and Roku Ads Manager (a self-serve advertising platform). The company does not own major content studios or streaming services but generates revenue from distributing and advertising across the content available on its platform.

Is Roku publicly traded?
Yes, Roku Inc. is publicly traded on the NASDAQ stock exchange under the ticker symbol ROKU. The company completed its initial public offering on September 28, 2017, raising approximately $219 million. Roku is included in the Russell 1000 index and is owned by a broad base of institutional and individual investors.

Who founded Roku?
Roku was founded by Anthony Wood in October 2002. Wood had previously founded ReplayTV, one of the first digital video recorder companies, and used proceeds from that business to fund Roku's early development. Wood continues to serve as Roku's Chief Executive Officer and holds Class B shares that give him effective voting control over the company.

What is Roku's revenue?
In FY2025, Roku reported total revenue of $4.7 billion, up 15% from $4.1 billion in FY2024. The Platform segment, which includes advertising and content distribution fees, generated $4.1 billion, accounting for 87% of total revenue. The Devices segment contributed $610 million. Roku achieved its first full year of GAAP profitability in FY2025 with net income of $112 million.

How many streaming households does Roku have?
Roku reported approximately 100 million streaming households in FY2025, up from 90 million in early 2025. The Roku Channel reached households with nearly 145 million people as of early 2025.

Is Roku profitable?
Yes, in FY2025, Roku achieved its first full year of GAAP profitability, reporting net income of $112 million. This was a significant improvement from the $129.3 million net loss reported in FY2024. The improvement was driven by Platform segment growth, operational efficiency, and advertising revenue expansion.

Anthony Wood founded Roku in October 2002 as a limited liability company in Silicon Valley. The name Roku means "six" in Japanese, reflecting the fact that it was the sixth company Wood had started. His previous venture, ReplayTV, was one of the earliest digital video recorder companies, and Wood used proceeds from selling that business to fund Roku's early operations.

The company's initial focus was on high-definition video players, but its direction shifted in 2008 when Netflix invested $6 million in Roku as part of an equity funding round. Wood simultaneously took a part-time role at Netflix to develop a device capable of streaming Netflix content to televisions. In May 2008, Roku launched the first connected TV device to stream Netflix, establishing the company's core identity as a streaming hardware maker. Netflix subsequently sold its approximately 15% stake in Roku to Menlo Ventures in 2009 to avoid the appearance of favoring one hardware manufacturer over others.

Throughout the early 2010s, Roku expanded its hardware lineup and geographic reach. In 2012, the company launched in the United Kingdom and Canada. In 2014, Roku entered a new strategic direction by licensing its operating system to third-party television manufacturers, allowing Roku OS to be embedded directly into smart TVs sold by other brands. This licensing model dramatically expanded the company's installed base without requiring Roku to manufacture every device itself.

In 2016, Roku began building its advertising business in earnest, partnering with Magna, a media firm, to incorporate targeted advertising on its streaming platform. The company also partnered with Nielsen to measure advertising effectiveness.

On September 28, 2017, Roku completed its initial public offering on NASDAQ, raising approximately $219 million. The IPO marked a turning point in how the company described itself: rather than a hardware company, Roku began positioning itself as a platform business whose hardware served primarily as a distribution vehicle for its advertising and content services.

In November 2019, Roku acquired dataxu, a video advertising platform, for approximately $150 million in cash and stock. The acquisition gave Roku programmatic advertising technology and data capabilities that strengthened its pitch to brand advertisers.

In January 2021, Roku acquired rights to Quibi's content library for less than $100 million, adding 75 programs to The Roku Channel. In March 2021, Roku acquired This Old House Ventures, bringing the long-running home improvement franchise to its platform.

In January 2023, Roku launched its own branded smart televisions, entering the hardware market directly. The Roku TV line marked the company's first full year of branded TV sales in 2024, with device revenue reaching $590.1 million for the year, up 20% year over year.

In April 2024, Roku disclosed that approximately 576,000 user accounts had been compromised in a credential stuffing cyberattack. The company reversed all fraudulent charges and rolled out two-factor authentication across all accounts.

In September 2024, Roku launched Roku Ads Manager, a self-serve advertising platform designed to attract performance-oriented advertisers.

For FY2025, Roku reported total revenue of $4.7 billion, up 15% from $4.1 billion in FY2024. The company achieved its first full year of GAAP profitability with net income of $112 million, a dramatic improvement from the $129.3 million net loss in FY2024. Platform revenue grew to $4.1 billion, driven by advertising growth and content distribution. Streaming households reached approximately 100 million.

In April 2024, Roku disclosed two separate security incidents involving unauthorized access to user accounts. The first breach, discovered earlier in 2024, affected approximately 15,000 accounts. A second credential stuffing attack compromised approximately 576,000 accounts. In fewer than 400 cases, attackers were able to make unauthorized purchases using stored payment information. Roku reversed all fraudulent charges, refunded affected accounts, and implemented mandatory two-factor authentication across all accounts.

Roku has also faced scrutiny over its data collection practices. As a connected TV platform operator, Roku collects viewing data across all streaming services used on its platform, which raises privacy concerns. The company has invested in privacy-compliant advertising solutions and data partnerships with retailers including Walmart, Target, Kroger, and Best Buy to enable closed-loop measurement of advertising effectiveness.