Netflix posted sturdy second-quarter earnings at the moment (July 17), with income leaping 16 % year-over-year to $11 billion and revenue surging 45 % to $3.1 billion. The streaming large credited the surge to latest subscription value hikes, a booming advert enterprise and a worldwide lineup of hit content material.
Netflix attributed the expansion to a few most important elements: elevated subscribers (although it not discloses precise figures), increased costs in key markets just like the U.S., and a pointy rise in promoting income. Collectively, these drivers helped the corporate surpass Wall Avenue expectations and lift its full-year income forecast to a spread of $44.8 billion to $45.2 billion.
Netflix not recurrently shares subscriber numbers that when dominated earnings calls. As a substitute, it emphasizes engagement metrics like viewing time. Among the many standout performers of the quarter was the third season of Squid Sport (launched within the final week of June), which racked up 122 million views in only a few weeks, making it the sixth most-watched season of any Netflix title up to now.
Within the U.S., audiences boosted viewership for Ginny & Georgia Season 3 (53 million views) and Tina Fey’s new comedy The 4 Seasons (40 million views) through the quarter. One of many quarter’s largest surprises got here from KPop Demon Hunters, an animated Ok-pop motion movie that drew 80 million world views and spawned a record-breaking soundtrack, surpassing benchmarks beforehand set by BTS and Blackpink.
The corporate additionally racked up 120 Emmy nominations this quarter, underscoring its continued dominance in status tv.
Large content material spending forward
Trying forward, Netflix plans to double down on authentic content material and stay occasions within the second half of 2025. Its upcoming slate consists of Wednesday Season 2, the sequence finale of Stranger Issues, Alice in Borderland Season 3 and movie sequels like Comfortable Gilmore 2 and Troll 2.
On the stay entrance, Netflix will stream the extremely anticipated boxing match between Canelo Álvarez and Terence Crawford on September 13. It additionally plans to make sports activities historical past with its first-ever NFL Christmas Day doubleheader this vacation season.
The packed launch schedule comes with a price. Regardless of the sturdy monetary outcomes, Netflix shares dipped barely in after-hours buying and selling after the corporate warned that working margins will seemingly shrink within the second half of the 12 months as a result of elevated advertising and marketing prices tied to its blockbuster lineup.
Even so, Netflix expects a record-setting second half of 2025, noting that viewers streamed 95 billion hours of content material within the first half. Netflix ended 2024 with greater than 300 million subscribers, a quantity prone to develop if present traits proceed.
