Roku Inc (NASDAQ:ROKU) reported first-quarter financial results after market close Thursday.

Here are the key highlights.

What Happened: Roku reported first-quarter revenue of $1.02 billion, up 16% year-over-year. The revenue total beat a Street consensus estimate of $1.01 billion according to data from Benzinga Pro.

The company said Platform revenue was $881 million, up 17% year-over-year. Devices revenue in the quarter was $140 million, up 11% year-over-year.

Roku said it continues to increase engagement, ad reach and subscriptions.

The Roku Channel was the number two app on the platform in the U.S. for engagement. Streaming hours on The Roku Channel were up 84% year-over-year in the quarter.

Streaming hours were 35.8 billion in the quarter, up 5.1 billion hours year-over-year.

Roku said its Home Screen is seen by over 125 million people every day and continues to see increased monetization and partnership opportunities.

In the first quarter, Roku partnered with Apple Inc (NASDAQ:AAPL) for its streaming hit "Severance." Ahead of the second season, Roku had the first season available for free on The Roku Channel and offered three months free of Apple TV+.

"The successful campaign helped drive both engagement and viewers, including first-time Apple TV+ subscribers," the company said.

Read Also: Roku Is Poised To Benefit From Higher Ad Spend, Says Bullish Analyst

Frndly TV Acquisition: Along with quarter earnings, Roku announced the acquisition of subscription streaming service company Frndly TV.

Frndly TV offers 50 live TV channels, on-demand video and cloud-based DVR. The company was founded in 2019. Channels included on the platform include A&E, Hallmark Channel, The History Chanel and Lifetime.

Plans for Frndly TV start at $6.99 per month.

Roku said the acquisition is intended to help with growth of platform revenue and Roku-billed subscriptions.

"Frndly TV's impressive growth and expertise in direct-to-consumer subscription services make it a compelling addition to Roku," Roku CEO Anthony Wood said.

The acquisition is expected to close in the second quarter. Roku paid $185 million in cash, which includes $75 million held back tied to performance goals and milestones over the next two years.

What's Next: Roku is guiding for second-quarter revenue of $1.07 billion, up 11% year-over-year. The total is shy of a Street consensus estimate of $1.09 billion according to Benzinga Pro.

Roku expects second-quarter platform revenue to grow 14% year-over-year with devices revenue expected to decline 10% year-over-year in the quarter.

The company said there is "more macro uncertainty than normal" and called its guidance the best outlook based on its current visibility.

For the full fiscal year, Roku sees revenue hitting $4.55 billion, down from the original guidance of $4.61 billion. The company said it reaffirms platform revenue estimates of $3.95 billion for the full fiscal year.

Devices segment revenue is expected to remain consistent with 2024 levels with the company saying it will have "tariff-related impacts" that are difficult to predict.

"While uncertainty remains, we are confident in our strategy and continue to see a path to achieving positive operating income in 2026," Wood said.

ROKU Price Action: Roku stock is down 4.7% to $64.10 in after-hours trading Thursday versus a 52-week trading range of $48.33 to $104.96.

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