Netflix Shares Beats Q1 2025 Forecasts With $2.89B Profit

Netflix Shares Beats Q1 2025 Forecasts With $2.89B Profit

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Netflix share price rises: Netflix beats all expectations

Netflix earned significantly more in the first fiscal quarter of 2025. Earnings per share jumped from $5.40 to $6.76, exceeding analysts’ estimates of $5.67. The bottom line was a 24 percent jump in quarterly profit to $2.89 billion.

Revenues also developed significantly positively: Sales rose from $9.37 billion to $10.54 billion. Here, the streaming service also exceeded expert estimates; analysts had previously expected revenue of $10.50 billion.

Netflix also exceeded analysts’ expectations with its forecasts for the current quarter. At the same time, the company left its outlook for the full year unchanged—a cautionary note given the strong start to the year.

This was the first quarter in which Netflix stopped disclosing customer numbers, instead focusing on its financials. Netflix ended last year with 301.6 million customer households. In the final quarter, in which the service broadcast two live NFL games for the first time, among other things, for Christmas, it added nearly 19 million customers.

In countries where Netflix offers a cheaper subscription with advertising, 55 percent of new customers opted for it in the last quarter of last year. And the number of customers in the ad-only model increased by 30 percent within three months.

The advertising subscription helps Netflix retain customers who may be less willing to spend on streaming. Following US President Donald Trump ‘s sweeping tariffs, US consumers are more skeptical about the future. At the same time, however, the strategy also makes Netflix more dependent on the advertising business, which can suffer in times of economic weakness.

Netflix shares were up 3.39 percent at $1,006.00 on the NASDAQ in after-hours trading Thursday. And Dax is crash.

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Netflix increases quarterly profit

Streaming provider Netflix exceeds analysts’ expectations with strong quarterly figures. More than half of new customers are now opting for the cheaper ad-only subscription.

Video streaming market leader Netflix significantly increased its revenue and profits last quarter. Revenue grew by 12.5 percent year-on-year to just over $10.5 billion (€9.23 billion). The bottom line was a 24 percent increase in quarterly profit to $2.89 billion.

Netflix’s figures exceeded analysts’ expectations. The streaming giant’s earnings per share were particularly impressive, with earnings of $ 6.61 . Market experts had, on average, expected earnings of around $5.70 per share.

Netflix also exceeded analysts’ expectations with its forecasts for the current quarter. At the same time, the company left its outlook for the full year unchanged—which reflects caution given the strong start to the year. Netflix’s share price temporarily rose by more than four percent in after-hours trading.

55 percent opt ​​for advertising subscription

This was the first quarter in which Netflix stopped disclosing customer numbers, instead focusing on its financials. Netflix ended last year with 301.6 million customer households. In the final quarter, in which the service broadcast two live NFL games for the first time, among other things, for Christmas, it added nearly 19 million customers.

In countries where Netflix offers a cheaper subscription with advertising, 55 percent of new customers opted for it in the last quarter of last year. And the number of customers in the ad-only model increased by 30 percent within three months.

The advertising subscription helps Netflix retain customers who may be less willing to spend on streaming. Following US President Donald Trump’s sweeping tariffs, US consumers are more skeptical about the future. At the same time, however, the strategy also makes Netflix more dependent on the advertising business, which can suffer in times of economic weakness.

Netflix surprises with higher sales and profit

Netflix Shares Beats Q1 2025 Forecasts With $2.89B Profit

Netflix’s profit and revenue exceeded expectations – the stock rose by more than four percent at one point in after-hours trading. Customer numbers were not released for the first time.

Los Gatos. The video streaming market leader Netflix significantly increased its revenue and profits last quarter. Revenue grew by 12.5 percent year-on-year to just over $10.5 billion (€9.23 billion). The bottom line was that quarterly profit jumped 24 percent to $2.89 billion.

Netflix’s figures exceeded analysts’ expectations. The streaming giant’s earnings per share were particularly impressive, with earnings of $6.61. Market experts had, on average, expected earnings of around $5.70 per share.

Netflix’s forecasts for the current quarter also exceeded analysts’ expectations. For the period from April to June, Netflix forecast revenue of $11.04 billion, while experts expected $10.90 billion.

At the same time, the company left its outlook for the full year unchanged—a cautionary note given the strong start to the year. Netflix’s share price temporarily rose by more than four percent in after-hours trading.

It was the first quarter in which Netflix stopped providing information on customer numbers, focusing solely on financials. Netflix ended last year with 301.6 million customer households. In the final quarter, in which the streaming service broadcast two live NFL games for the first time, among other things, for Christmas , it added nearly 19 million customers.

The advertising subscription is particularly popular

In countries where Netflix offers a cheaper subscription with ads, 55 percent of new customers opted for it in the last quarter of last year. And the number of customers in the ad-only model increased by 30 percent in those three months.

The advertising subscription helps Netflix retain customers who are willing to spend less on streaming. 
Following US President Donald Trump’s sweeping tariffs , US consumers are more skeptical about the future. At the same time, however, the strategy also makes Netflix more dependent on the advertising business, which can suffer in times of economic weakness.

During the past quarter, Netflix released hits such as the miniseries “Adolescence,” the thriller “Zero Day,” and the reality show “Temptation Island.” “Adolescence”—about a 13-year-old who is accused of murdering a young girl—has become one of the service’s most-watched productions since its premiere in mid-March.

Netflix is ​​also increasingly focusing on sporting events to keep its ad-supported subscription customers tuned in. It is showing wrestling matches and select NFL games. According to media reports, the company is also considering bidding for the US broadcast rights to Formula 1.

Netflix quarterly figures are convincing

Current: Netflix’s quarterly figures are impressive. Revenue, margin, and profit exceed expectations.

Netflix recently released its quarterly results. Here are the key figures.

Revenue is $10.54 billion (previous year’s quarter: $9.37 billion / expected for today: $10.50). Netflix now expects revenue of $11.04 billion for the current quarter (previously expected: $10.88 billion). Forecast for the fiscal year: $43.5-44.5 billion (previously expected: $44.33 billion).

Earnings are $6.61 per share (previous year’s quarter: $5.28 / expected for today: $5.68). Netflix now expects earnings per share of $7.02 for the current quarter.

Netflix no longer publishes the number of new subscriptions. This eliminates the previously most important indicator for investors as to whether the company’s growth is still ongoing.

The operating margin increased year-on-year from 28.1% to 31.7% (expected 28.58%).

The share is trading up 0.8% after hours.

Sources used:
  • With material from the News agencies afp, Reuters news agency, BBC News and CNN reports. The content has been independently analyzed and rewritten to provide original insights.
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