Netflix first-quarter profit beats estimates on strong subscription
Investing.com -- Netflix on Thursday reported first-quarter (Q1) profit that sailed past analyst estimates as subscription revenue remained strong.
Shares in the company, however, fell 7% during after-market hours. In addition to the results, Netflix co-founder Reed Hastings will leave company’s board when his term ends.
The streaming-giant reported Q1 earnings per share of $1.23, $0.44 better than the analyst estimate of $0.79. Its revenue for the quarter came in at $12.25 billion that jumped 16.2% from the year-ago period and also beat the consensus estimate of $12.18 billion.
“Revenue in Q1 grew 16% year over year (+14% on a foreign exchange (F/X) neutral basis), driven primarily by membership growth, higher pricing, and increased ad revenue,” it said in a shareholder letter.
Netflix said it continue to project 2026 revenue of $50.7 billion -$51.7 billion and an operating margin of 31.5%.
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