Roku ads

Roku unveils what it’s calling the Roku Exchange, a more direct path between Roku’s ad supply and programmatic demand.

Roku had a promising Q4, with steady revenue growth thanks to more active accounts and new ad offerings. But ARPU was down, and investors had a skeptical response.

Roku is making more space for brands on its home screen because it’s a good place to reach viewers with lower-funnel marketing messages.

Roku’s revenue for the fourth quarter was up 33% YOY, thanks to streaming and ad sales – but it’s losing money on its signature player devices. It’s also losing money licensing its operating system to manufacturers using it to create Roku TV models. Roku was the top streaming platform across the US, Canada and Mexico in terms of hours streamed – but investors still aren’t impressed.