Netflix Q2 EPS Beats, Revenue Misses, Q3 Outlook Below Estimates
Netflix reported Q2 earnings per share of $0.80, beating estimates of $0.79, but revenue of $12.56B fell short of the $12.58B consensus. Q3 guidance came in below expectations, with EPS forecast at $0.82 vs. $0.84 est. and revenue at $12.86B vs. $13.0B est.
Netflix released its Q2 results, with EPS of $0.80 narrowly beating the $0.79 estimate. Revenue came in at $12.56B, slightly below the $12.58B consensus. Free cash flow for the quarter was $1.53B, significantly missing the $2.72B estimate.
For Q3, the company guided EPS of $0.82 (est. $0.84), revenue of $12.86B (est. $13.0B), operating income of $4.27B (est. $4.36B), and an operating margin of 33.2% (est. 33.5%). Full-year revenue guidance was narrowed to $51.0B–$51.4B, while the operating margin forecast of 31.5% and free cash flow of ~$12.5B were maintained.
Netflix also reiterated its 2026 advertising revenue target of ~$3B.
Source: First Squawk