How Roku (ROKU) Makes Money: A Visual Guide

Roku (ROKU) generated $4.74B in revenue (TTM through Q4 2025), earning $88.36M in net profit (1.9% margin). Its largest revenue source is Platform Segment (100% of revenue). Below is an interactive breakdown of how revenue flows through the income statement.

Roku (ROKU) Income Statement Flow

Frequently asked questions

How does Roku (ROKU) make money?

Roku (ROKU) primarily makes money through Platform Segment, which accounts for 100% of total revenue. For TTM through Q4 2025, Roku generated $4.74B in total revenue with a net profit margin of 1.9%.

What is Roku (ROKU) gross profit margin?

Roku (ROKU) reported a gross profit margin of 43.8% for TTM through Q4 2025, equivalent to $2.07B in gross profit. This means Roku retains 43.8% of each revenue unit after direct costs of production.

What is Roku (ROKU) operating profit margin?

Roku (ROKU) reported an operating profit margin of -0.1% for TTM through Q4 2025, equivalent to −$5.62M in operating profit. This reflects profitability after operating expenses such as R&D, sales, and administration, but before taxes and non-operating items.

What is Roku (ROKU) net profit margin?

Roku (ROKU) reported a net profit margin of 1.9% for TTM through Q4 2025, equivalent to $88.36M in net profit. This is the share of revenue that remains as profit after all expenses, taxes, and non-operating items.

How much does Roku (ROKU) invest in R&D?

Roku (ROKU) invested $729.48M in research and development in TTM through Q4 2025 (15.4% of total revenue). R&D spending reflects investment in future products, services, and technologies.

How much does Roku (ROKU) spend on capital expenditures?

Roku (ROKU) spent $5.28M on capital expenditures in TTM through Q4 2025 (0.1% of total revenue). Capital expenditures represent investments in physical assets such as property, equipment, and infrastructure.

What is Roku (ROKU) free cash flow?

Roku (ROKU) generated $593.51M in free cash flow for TTM through Q4 2025 (12.5% of total revenue). Free cash flow is the cash remaining after capital expenditures and represents the company's ability to fund growth, pay dividends, or reduce debt.

What is Roku (ROKU) effective tax rate?

Roku (ROKU) had an effective tax rate of 5.9% for TTM through Q4 2025. This is the actual percentage of pre-tax income paid as income taxes.

Data & methodology

What is a Sankey diagram?

A Sankey diagram shows how money flows through a company from revenue to net profit. The width of each flow represents its proportion.

How is the data calculated?

We use the income statement from company filings. For TTM (Trailing Twelve Months), we use a pre-aggregated twelve-month view aligned with our latest four quarterly periods. Revenue flows to cost of revenue and gross profit, then to operating expenses (R&D, S&M, G&A) and operating profit.

When was this data last updated?

Based on company filings through TTM through Q4 2025.