Roku’s Fourth Quarter Earnings and Exciting Plans for 2026
Roku recently disclosed its fourth-quarter earnings for 2025, along with some exciting developments in the works. The company is set to introduce new streaming bundles, expand its $3 subscription service, Howdy, to more platforms, and collaborate with additional premium streaming services following the successful integration of HBO Max.
Leveraging bundles in 2026 is a strategic move to attract more viewers seeking attractive deals amidst the escalating subscription costs across various platforms. With many streaming services hiking their rates, Roku aims to capture the attention of budget-conscious consumers. The favorable impact of HBO Max on Roku’s premium subscriptions has motivated the company to pursue this approach by bringing on board more top-tier partners, expected to fuel growth in the future.
Furthermore, Roku rolled out its ad-free subscription streaming service, Howdy, last year and is planning to broaden its availability beyond the Roku platform. While specific details are yet to be revealed, Roku CEO Anthony Wood expressed at CES last month that the objective is to distribute Howdy extensively, emphasizing, “We want to distribute it everywhere.”
Additional highlights include Roku users streaming a total of 145.6 billion hours of video in 2025, reflecting a 15% increase from the previous year. The company is also approaching the milestone of 100 million streaming households, although it has opted to report this figure less frequently.
From a financial standpoint, Roku delivered a strong quarter, reporting a net income of $80.5 million, a significant rebound from a $35.5 million loss in the same period the previous year. Total revenue for Q4 2025 amounted to $1.4 billion, marking a 16% year-over-year growth.
Looking towards the future, Roku is optimistic about its prospects, projecting total net revenue of $5.5 billion and gross profit of $2.4 billion.
“In 2023, our primary focus was to optimize our cost structure and achieve adjusted EBITDA breakeven in 2024, a target we surpassed a year ahead of schedule,” Wood informed investors during the recent call. “As we look ahead to 2026 and beyond, we are confident in our ability to sustain double-digit platform revenue growth while further enhancing profitability.”
