Amazon vs Roku: Revenue, Profit and Business Model
Amazon reported $716.9B of revenue in FY2025 and $77.7B of net income. Roku reported $4.7B of revenue in FY2025 and $88.4M of net income.
Latest financial snapshot
Financial summary
Amazon
Amazon's headline revenue understates how concentrated its profit is. FY2025 net sales were $716.9B and operating income was $80.0B, of which AWS supplied $45.6B on $128.7B of sales. The North America segment turned $426.3B of sales into $29.6B of operating income, and International turned $161.9B into $4.8B. Advertising services, which Amazon reports inside the retail segments, grew from $56.2B in FY2024 to $68.6B in FY2025. Operating cash flow was $139.5B, but capital spending on AWS and AI capacity reached $131.8B, leaving free cash flow of $11.2B against $38.2B a year earlier.
Roku
Roku went public in 2017 and revenue grew from $512.8 million that year to $4.737 billion in 2025. After net losses of $498 million in 2022 and $709.6 million in 2023, driven by the ad slowdown, restructuring and impairments, Roku cut costs and returned to profit with $88.4 million of net income in 2025. Momentum continued in 2026: Q2 revenue was $1.35 billion (+22%), Platform revenue $1.22 billion (+25%) at a 53.0% gross margin, and net income a record $164.2 million. Management had guided in February 2026 to about $5.5 billion of 2026 revenue and $635 million of adjusted EBITDA, but stopped giving guidance after agreeing to the Fox deal.
Revenue and profit by year
Amazon
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $716.9B | $77.7B | 10.8% | +12.4% | Source |
| FY2024 | $638B | $59.2B | 9.3% | +11.0% | Source |
| FY2023 | $574.8B | $30.4B | 5.3% | +11.8% | Source |
| FY2022 | $514B | -$2.7B | -0.5% | +9.4% | Source |
| FY2021 | $469.8B | $33.4B | 7.1% | +21.7% | Source |
| FY2020 | $386.1B | $21.3B | 5.5% | +37.6% | Source |
| FY2019 | $280.5B | $11.6B | 4.1% | +20.5% | Source |
| FY2018 | $232.9B | $10.1B | 4.3% | +30.9% | Source |
| FY2017 | $177.9B | $3B | 1.7% | +30.8% | Source |
| FY2016 | $136B | $2.4B | 1.7% | — | Source |
Roku
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $4.7B | $88.4M | 1.9% | +15.2% | Source |
| FY2024 | $4.1B | -$129.4M | -3.1% | +18.0% | Source |
| FY2023 | $3.5B | -$709.6M | -20.4% | +11.5% | Source |
| FY2022 | $3.1B | -$498M | -15.9% | +13.1% | Source |
| FY2021 | $2.8B | $242.4M | 8.8% | +55.5% | Source |
| FY2020 | $1.8B | -$17.5M | -1.0% | +57.5% | Source |
| FY2019 | $1.1B | -$59.9M | -5.3% | +52.0% | Source |
| FY2018 | $742.5M | -$8.9M | -1.2% | +44.8% | Source |
| FY2017 | $512.8M | -$63.5M | -12.4% | +28.6% | Source |
| FY2016 | $398.6M | -$42.8M | -10.7% | — | Source |
Where the revenue comes from
Amazon
- Online stores37.6%
First-party product and digital media sales recorded gross. $269.3B of FY2025 net sales.
- Third-party seller services24.0%
Referral commissions plus related fulfillment and shipping fees charged to independent sellers. $172.2B of FY2025 net sales.
- AWS18.0%
Cloud compute, storage, database, and AI services sold on consumption pricing. $128.7B of FY2025 net sales and $45.6B of operating income.
- Advertising services9.6%
Sponsored ads, display, and video advertising sold to sellers, vendors, publishers, and authors. $68.6B of FY2025 net sales.
- Subscription services6.9%
Prime membership fees plus digital video, music, audiobook, and e-book subscriptions. $49.6B of FY2025 net sales.
- Physical stores3.1%
Sales where customers select items in a store, mainly Whole Foods Market and Amazon Fresh. $22.6B of FY2025 net sales.
- Other0.8%
Shipping services, healthcare services, certain video licensing, and co-branded credit card agreements. $5.9B of FY2025 net sales.
Roku
- Platform (advertising and subscriptions)87
Video and home-screen ads, partner ad inventory, subscription revenue shares, Premium Subscriptions and owned services; about $4.1 billion in 2025.
- Devices13
Streaming players, Roku-branded TVs, audio and smart home products, sold near breakeven.
Business model and strategy
Amazon
How it makes money
Amazon runs a hybrid model: it buys inventory and sells it directly, and it rents its store, warehouses, and ad inventory to independent sellers. In FY2025 online stores produced $269.3B of net sales, third-party seller services $172.2B, advertising services $68.6B, subscription services $49.6B, physical stores $22.6B, and AWS $128.7B.
Growth strategy
Amazon's growth now comes mostly from the higher-margin layers on top of its infrastructure. Advertising services grew from $56.2B in FY2024 to $68.6B in FY2025 as Amazon added inventory in Prime Video, grocery, and its demand-side platform.
Competitive advantage
Amazon's advantages depend on scale rather than patents. It carried $534.1B of gross property and equipment at the end of FY2025, including $155.1B of land and buildings and $172.5B of servers and networking equipment, which pays for delivery speed and cloud capacity smaller rivals cannot fund.
Roku
How it makes money
Roku reports two segments. Platform (about 87% of 2025 revenue, roughly $4.1 billion) includes video and home-screen advertising, ad inventory Roku receives from partner apps, revenue shares on subscriptions sold through Roku, Premium Subscriptions inside The Roku Channel, and its own services such as Frndly TV.
Growth strategy
Roku's growth plan centers on monetizing its home screen and The Roku Channel, selling third-party subscriptions through Premium Subscriptions, and opening its ad inventory to outside demand platforms such as Amazon DSP and The Trade Desk.
Competitive advantage
Roku's edge is scale plus neutrality. Its OS is the top TV streaming platform in the US, Canada and Mexico by hours streamed, and because Roku does not run a large subscription video service of its own, publishers and advertisers treat it as a partner rather than a rival.
Questions about Amazon vs Roku
Which company has higher revenue — Amazon.com, Inc. or Roku, Inc.?
Amazon.com, Inc. reported $716.9B (FY2025), while Roku, Inc. reported $4.7B (FY2025). By last reported revenue, Amazon.com, Inc. is the larger business, with Roku, Inc. reporting a smaller revenue base.
What is the market cap of Amazon.com, Inc. vs Roku, Inc.?
Amazon.com, Inc.'s market capitalisation stands at $2.69T, while Roku, Inc.'s is $22.5B. Amazon.com, Inc. carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to Roku, Inc..
Which is more financially efficient — Amazon.com, Inc. or Roku, Inc.?
Amazon.com, Inc. generates $455k / employee in revenue per employee, while Roku, Inc. generates $1.32M / employee. Roku, Inc. shows higher revenue efficiency per headcount, though this reflects business model differences — capital-light software companies routinely outperform labour-intensive manufacturers on this metric.
How do Amazon.com, Inc. and Roku, Inc. make money?
Amazon.com, Inc. and Roku, Inc. generate revenue in fundamentally different ways. Amazon.com, Inc.: Amazon runs a hybrid model: it buys inventory and sells it directly, and it rents its store, warehouses, and ad inventory to independent sellers. Roku, Inc.: Roku reports two segments.
Which company is valued higher relative to revenue — Amazon.com, Inc. or Roku, Inc.?
On a price-to-sales (P/S) basis, Amazon.com, Inc. trades at 3.8x P/S and Roku, Inc. at 4.7x P/S. Roku, Inc. commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to Amazon.com, Inc.. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is Amazon.com, Inc. bigger than Roku, Inc.?
By last reported revenue, Amazon.com, Inc. ($716.9B (FY2025)) is the larger company compared to Roku, Inc. ($4.7B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Amazon vs Roku overview