Shares of Roku Inc. (ROKU) tumbled 5.98% in after-hours trading on Thursday following the company's mixed first-quarter results and disappointing second-quarter revenue forecast. The streaming platform provider beat Q1 revenue expectations but provided a weaker-than-anticipated outlook for Q2, citing economic uncertainty and tariff-related concerns.

For the first quarter, Roku reported revenue of $1.021 billion, surpassing the analyst estimate of $1.007 billion. However, the company's streaming hours came in at 35.8 billion, slightly below the analyst consensus of 36 billion. Looking ahead, Roku forecast second-quarter revenue of $1.07 billion, falling short of Wall Street's average estimate of $1.09 billion.

The company also trimmed its annual revenue expectations, now projecting full-year revenue of $4.55 billion, down from its previous forecast of $4.61 billion. This reduction in guidance reflects the challenging macroeconomic environment and potential impact of tariffs on Roku's device segment. Despite reaffirming its platform revenue outlook for 2025, investors seemed concerned about the overall growth trajectory and potential headwinds facing the company.

In a separate announcement, Roku revealed plans to acquire streaming service provider Frndly TV for $185 million in cash. While this strategic move aims to bolster Roku's content offerings, it wasn't enough to offset the market's reaction to the cautious outlook. The after-hours decline suggests that Wall Street is worried about Roku's ability to maintain growth in the face of persistent inflation, economic uncertainties, and potential tariff impacts that could affect its devices business.