Roku Inc · Q1 2020 earnings

Briefing

Roku exceeded its prior outlook for revenue and adjusted EBITDA and continued to make significant operational and financial progress.

Roku's Q1 2020 total net revenue grew 55% year-over-year to $321 million, with platform revenue increasing 73% year-over-year to $233 million. The company added 2.9 million incremental active accounts, reaching 39.8 million, and streaming hours increased to a record 13.2 billion.

• Total net revenue grew 55% YoY to $321 million.
• Platform revenue increased 73% YoY to $233 million.
• Gross profit was up 40% YoY to $141 million.
• Roku added 2.9 million incremental active accounts in Q1 2020 to reach 39.8 million.

Headline financials

Revenue & EPS history

Much uncertainty remains, but a few things are increasingly clear: streaming, and the ease and value it provides, is more relevant to consumers than ever; overall advertising expenditure in the U.S. is likely to fall in 2020, but we expect our ad revenues to still grow substantially year-over-year; Roku is well positioned to be an increasingly valuable partner as brands decide how to invest marketing resources most effectively; and, our outstanding talent is keeping our company highly productive.