A brand new earnings report has confirmed that Netflix outperformed Wall Road expectations within the second quarter of 2025. The streaming large posted higher-than-anticipated income and earnings per share, raised its full-year income forecast, and reported robust development in its ad-supported tier and money circulation.
Netflix’s income enhance in newest earnings report defined
Income reached $11.08 billion, up 16–17.3% year-over-year, exceeding analyst estimates of $11.07 billion. Earnings per share got here in at $7.19, above the $7.08 estimate and up from $4.88 in Q2 2024. Internet revenue rose to $3.1 billion from $2.1 billion a 12 months in the past (through CNBC).
The corporate up to date its full-year income forecast to a spread of $44.8 billion to $45.2 billion, a rise from the earlier $43.5 billion to $44.5 billion. Netflix attributed this revision to favorable international trade charges and “wholesome” member development and advert gross sales. The corporate highlighted that income development was pushed by extra members, elevated subscription pricing, and increasing promoting revenue.
Free money circulation in Q2 reached $2.3 billion, marking a 91% enhance year-over-year. Internet money from working actions was $2.4 billion, up 84%. Netflix raised its full-year free money circulation steerage to $8–8.5 billion, up from a earlier estimate of $8 billion.
Working margin for the quarter was 34.1%, up practically 3 proportion factors from Q1 and practically 7 factors year-over-year. Nevertheless, the corporate warned of a decrease working margin within the second half of 2025 as a consequence of elevated content material amortization and advertising bills.
Netflix now not gives quarterly subscriber updates, however famous robust engagement with its ad-supported tier. Advert income is projected to succeed in $3 billion in 2025. The corporate reported 94 million month-to-month lively customers for the ad-supported plan as of Could, up from 70 million in November.
Trying forward, Netflix forecasts Q3 2025 income of $11.53 billion and EPS of $6.87. Regardless of the constructive report, shares dipped about 1% in after-hours buying and selling.
Initially reported by Anubhav Chaudhry on SuperHeroHype.