Roku Reports Strong Q3 2026 Earnings: Net Revenue Up 24% YoY to $1.5B

Executive Summary

On November 2, 2026, Roku, Inc. filed a Current Report on Form 8-K under Item 2.02 disclosing its financial results for the third quarter ended September 30, 2026.

Key Financial Highlights

• Total Net Revenue: Reached $1,502.0 million, an increase of 24% year-over-year compared to $1,210.6 million in Q3 2025.
  • Platform Revenue: $1,308.3 million (+23% YoY), driven by balanced growth across Advertising ($727.4 million, +23% YoY) and Subscriptions ($580.9 million, +23% YoY).
  • Devices Revenue: $193.7 million (+33% YoY).
• Gross Profit: Total gross profit expanded 24% YoY to $648.5 million.
  • Platform Gross Profit: $697.1 million (+27% YoY) with Platform gross margin of 53.3%.
  • Devices Gross Margin: -25.1%, reflecting hardware promotional strategies.
• Profitability Metrics:
  • Net Income: $183 million.
  • Adjusted EBITDA: $249 million.
  • Free Cash Flow (TTM): $796 million.
• Operating Expenses: Declined 6% YoY to $484.4 million, driven by a 21% reduction in Sales & Marketing expenditures ($190.9 million).

Operational Metrics

• Streaming Hours: 39.9 billion hours, up 9% YoY.
• Engagement: The Roku Channel maintained its position as the #2 app on the platform by engagement both domestically in the U.S. and globally.