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Netflix said on Tuesday it had reached 325 million paying subscribers worldwide, a new milestone for the streaming giant which last published its membership numbers a year ago.
The company reported Fourth-quarter earnings and revenue that narrowly beat Wall Street estimates. Here is Netflix’s performance for the period ended December 31, compared to estimates from analysts surveyed by LSEG:
Earnings per share: 56 cents versus 55 cents, estimatedIncome: $12.05 billion versus $11.97 billion, estimatedNet income for the period was $2.42 billion, or 56 cents per share, compared with $1.87 billion, or 43 cents per share, in the same period a year earlier.
Netflix said its fourth-quarter revenue rose 18% year over year, driven by membership growth, higher subscription prices and higher advertising revenue. In recent years, Netflix has focused on increasing its ad-supported membership level.
Netflix spear its ad-supported option in late 2022. On Tuesday, it said 2025 ad revenue grew more than 2.5 times over 2024 to more than $1.5 billion.
The company said it expects overall revenue for 2026 to be between $50.7 billion and $51.7 billion, driven by increased memberships and pricing, as well as “an approximate doubling of advertising revenue in 2026” compared to the previous year.
Still, Netflix’s stock was down 5% Tuesday after market trading.
WBD Agreement UpdateNetflix’s quarterly report comes against the backdrop of its proposed transaction for Warner Bros. streaming and movie studio assets. Discovery. The company’s announcement in December that it had agreed to acquire streamer HBO Max and film studio Warner Bros. for $27.75 per WBD share, or a net worth of $72 billion.
Earlier Tuesday Netflix modified his offer will be all cash.
Netflix said in its letter to shareholders Tuesday that it believes the transaction “will enable us to accelerate our business strategy.”
Netflix said Warner Bros. library, development and intellectual property will allow it to improve its content selection for members and that HBO Max will help “offer more personalized and flexible subscription options.”
Netflix has spent heavily on its content, pushing its industry peers to not only get into the streaming business but also distribute programming.
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