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ROKU, INC

For the period ended Sep 30, 2026. Filed Nov 2, 2026.

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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Sep 30, 2026 · Filed Nov 2, 2026

ROKU$160.52+0.1%Stored close · as of Nov 6, 2026

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10. Leases

  1. LEASES

The Company has entered into operating leases primarily for office real estate. The leases have remaining terms ranging from less thanone year toseven years and may include options to extend or terminate the lease. The depreciable life of operating lease right-of-use assets is limited by the expected lease term.

The components of lease expense are as follows (in thousands):

Three Months EndedNine Months Ended
September 30, 2026September 30, 2025September 30, 2026September 30, 2025
Operating lease expense$17,254$18,364$52,404$54,584
Variable lease expense6,5956,94419,60419,026
Sublease income(5,994)(6,200)(18,368)(17,302)
Total operating lease expense$17,855$19,108$53,640$56,308

Supplemental cash flow information related to leases is as follows (in thousands):

Three Months EndedNine Months Ended
September 30, 2026September 30, 2025September 30, 2026September 30, 2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows from operating leases (1)$50,637$27,462$116,138$77,749
Right-of-use assets obtained in exchange for lease obligations:
Operating leases$2,812$53$9,908$7,927
Decrease in operating lease right-of-use assets due to impairment$5,394$—$10,314$2,870

(1)Includes any termination payments associated with lease exits.

During the three months ended September 30, 2026, the Company terminated a portion of a previously impaired corporate office lease and recorded an impairment credit of $22.3 million within operating expense on the condensed consolidated statements of operations and comprehensive income. This credit was comprised of a $56.6 million removal of the remaining lease liability, partially offset by $5.4 million of additional right-of-use asset impairment charges, $2.7 million of property and equipment impairment charges, and $26.2 million of termination fees and other charges. There wereno right-of-use asset impairment charges during the three months ended September 30, 2025.

The Company recorded operating lease right-of-use asset impairment charges of $10.3 million and $2.9 million related to the ceased use of certain of its corporate facilities during the nine months ended September 30, 2026, and 2025, respectively.

Supplemental balance sheet information related to leases is as follows (in thousands, except lease term and discount rate):

As of
September 30, 2026December 31, 2025
Operating lease right-of-use assets$222,564$260,341
Operating lease liability, current (included in Accrued liabilities)82,51187,425
Operating lease liability, non-current317,968435,899
Total operating lease liability$400,479$523,324
Weighted-average remaining term for operating leases (in years)5.226.11
Weighted-average discount rate for operating leases4.06%3.99%

Future lease payments under operating leases as of September 30, 2026 are as follows (in thousands):

Year Ending December 31,Operating Leases (1)
2026 (remaining 3 months)$23,871
202795,521
202891,359
202986,680
203065,020
Thereafter82,659
Total future lease payments445,110
Less: imputed interest(42,032)
Less: expected tenant improvement allowance(2,599)
Total$400,479

(1) Non-cancelable sublease proceeds for the fiscal years ending December 31, 2026 (remaining 3 months), 2027, 2028, and 2029 of $4.1 million, $16.7 million, $16.7 million, and $10.6 million, respectively, are not included in the table above.

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