Netflix

NFLX Q3 2025 Earnings

Reported Oct 21, 2025 at 4:02 PM ET · SEC Source

Q3 25 EPS

$5.87

MISS 15.79%

Est. $6.97

Q3 25 Revenue

$11.51B

MISS 0.01%

Est. $11.51B

vs S&P Since Q3 25

-28.6%

TRAILING MARKET

NFLX -20.7% vs S&P +7.9%

Market Reaction

Did NFLX Beat Earnings? Q3 2025 Results

Netflix delivered a mixed third quarter, with a punishing one-time tax charge overshadowing otherwise solid top-line momentum and sending shares lower after results hit. Revenue came in at $11.51 billion, up 17.2% year over year but essentially flat … Read more Netflix delivered a mixed third quarter, with a punishing one-time tax charge overshadowing otherwise solid top-line momentum and sending shares lower after results hit. Revenue came in at $11.51 billion, up 17.2% year over year but essentially flat against the $11.51 billion consensus, while diluted EPS of $5.87 missed the $6.97 estimate by 15.79%, the shortfall driven almost entirely by an approximately $619 million charge related to a Brazilian tax dispute covering periods from 2022 through the quarter. That expense compressed operating margin to 28.2%, well below the company's own 31.5% guidance, though Netflix noted it would have exceeded the target absent the charge. Engagement offered a brighter picture, with record TV view share in the U.S. And UK and content hits including Happy Gilmore 2 and KPop Demon Hunters drawing massive audiences. Looking ahead, Netflix guided Q4 revenue to $11.96 billion and raised its full-year free cash flow outlook to approximately $9 billion, while trimming its 2025 operating margin forecast to 29% to account for the Brazilian matter.

Key Takeaways

  • 17% year-over-year revenue growth driven by membership growth, pricing adjustments, and increased ad revenue
  • Record TV view share in the US and UK markets
  • Best ad sales quarter ever with doubled US upfront commitments
  • Strong content slate including KPop Demon Hunters (most popular film ever at 325M views), Happy Gilmore 2 (126M views), and Wednesday S2 (114M views)
  • Canelo vs. Crawford boxing match attracted 41M+ viewers, most-viewed men's championship fight this century
  • Ads revenue on track to more than double in 2025
24/7 Wall St

NFLX YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

24/7 Wall St

NFLX Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25
24/7 Wall St

NFLX Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26