Roku reports that it has 80 million active accounts on its online video platform, up by 10 million in 2023, and delivered 106 billion hours of video on its platform over the year. It averaged over 4 hours a day per active account in the last quarter of 2023. In the United States, the active account base is now larger than the subscribers of the six largest pay-television providers combined.
The average revenue per user was about $10 a month, which is considerably lower than traditional television providers, but then again so are its costs.
Roku received total net revenue of $3.48 billion in 2023, with a total gross profit of $1.52 billion, but an operational loss of $0.79 billion and a net loss of $0.7 billion.
However, Roku started generating free cash flow in 2023 and plans to break even in the first quarter of 2024, delivering positive earnings before interest and other deductions for the full year.
Roku generates platform revenue primarily through the sale of advertising, sponsorships, and distribution, including subscription and transactional revenue, the sale of Premium Subscriptions, and the sale of branded app buttons on remote controls.
“As the leading TV streaming platform, Roku aims to make television better for everyone,” said Anthony Wood, the founder and chief executive of Roku. “In a world where one day all TV will be streamed, we’re immensely proud to be the programmer of the home screen for more than 80 million active accounts around the globe, connecting people directly to what they love to watch.”
Roku launched its own line of televisions in 2023 and expanded the Roku TV licensing program to include more than 30 partners, furthering the reach of the Roku Operating System. In the United Kingdom, Roku TV models are now available with JVC, Sharp, and Poloroid branded products.
The Roku operating system was the number one television operating system by sales in the United States for the fifth year in a row.
In January 2024, one year after the launch of Roku-branded televisions, the company announced the launch of the Roku Pro series of 4K products, with 55”, 65” and 75” screens.
The company says that it continues to put the needs and experience of the consumer at the centre of its offerings, since the launch of its first streaming player in 2008.