Companies /Communication Services

Netflix Inc

NASDAQ: NFLX Entertainment
$79.84
▼ $1.62 (−1.99%) today
Markets closed · 9:05am ET

Q2 2026 Earnings

Reported Jul 16, 2026, 4:03pm ET · SEC source
$0.80
Beat +1.48%
EPS · est. $0.79
$12.6B
Miss −0.17%
Revenue · est. $12.6B
+9.5%
Beating market
NFLX vs S&P since report
1 quarter
Consecutive EPS beats

Market Reaction

% change · around the report
−8%−4%0Jul 16Jul 17report 4:03pm ETearnings−1.0%−4.6%
−8%−4%0Jul 16Jul 17earnings−1.0%−4.6%
NFLX −4.6%S&P 500 −1.0%
−8%−4%0Jul 16Jul 17report 4:03pm ETearnings−1.7%−4.6%
−8%−4%0Jul 16Jul 17earnings−1.7%−4.6%
NFLX −4.6%NASDAQ −1.7%
−4%0+4%+8%Jul 15Jul 24report 4:03pm ETearnings−1.5%+2.6%
−4%0+4%+8%Jul 15Jul 24earnings−1.5%+2.6%
NFLX +2.6%S&P 500 −1.5%
−4%0+4%+8%Jul 15Jul 24report 4:03pm ETearnings−2.9%+2.6%
−4%0+4%+8%Jul 15Jul 24earnings−2.9%+2.6%
NFLX +2.6%NASDAQ −2.9%
−7.26%
Day of report
−1.96%
Next session
+1.65%
One week
+12.79%
30 days

S&P 500 over the same 30 days: +3.25%.

Did NFLX Beat Earnings? Q2 2026 Results

Netflix posted a largely in-line second quarter for fiscal 2026, delivering earnings per share of $0.80, just ahead of the $0.79 consensus estimate by 1.48%, while revenue of $12.56 billion came in fractionally below the $12.58 billion forecast but still reflected 13.4% year-over-year growth. The modest EPS beat was driven in part by favorable expense timing, with content amortization growth front-loaded in the first half and expected to moderate in the back half of the year, helping the company achieve a 33.4% operating margin slightly ahead of internal targets. Operating income rose 11% to $4.19 billion, with double-digit revenue growth across all four geographic segments underscoring the breadth of the platform's global momentum. Free cash flow declined to $1.53 billion from $2.27 billion a year ago, partly reflecting higher cash tax payments, though full-year free cash flow guidance holds at approximately $12.50 billion. Looking ahead, Netflix narrowed its 2026 revenue outlook to $51.00 to $51.40 billion, implying 13% to 14% growth, with advertising revenue expected to roughly double to around $3.00 billion.

Key Takeaways
  • Membership growth, pricing actions, and increased ad revenue drove 13% YoY revenue growth
  • View hours grew 2% in H1 2026 vs 1.5% growth in 2025 despite competitive impact from Winter Olympics and World Cup
  • Double-digit revenue growth across all four geographic regions
  • Strong content slate including Harlan Coben's I Will Find You (87M views), Apex (131M views), and Swapped (137M views)
  • Recent price changes in US, Mexico, and Spain performing consistent with expectations

Forward Guidance & Outlook

Netflix narrowed its 2026 revenue forecast to $51.0–$51.4 billion, representing 13–14% growth (~12% FX neutral), with an operating margin target of 31.5%, implying 20%+ annual operating income growth. Advertising revenue is expected to roughly double to approximately $3 billion. Full-year free cash flow is expected to be approximately $12.5 billion with a cash content spend to amortization ratio of ~1.1x. Content amortization is expected to grow ~10% for full year 2026 but slower in H2. For Q3 2026, the company forecasts revenue of $12.86 billion (12% growth, 11% FX neutral), operating margin of 33.2%, net income of $3.452 billion, and diluted EPS of $0.82.

NFLX YoY Financials

Q2 2026 vs Q2 2025 · SEC filings Q2 2025 Q2 2026
$0$4.0B$8.0B$12.0B$11.1B$12.6BRevenue$3.8B$4.2BOperating Income$3.1B$3.4BNet Income
$0$4.0B$8.0B$12.0BRevenueOperating IncomeNet Income

NFLX Revenue by Segment

UCAN (United States and Canada)
EMEA (Europe, Middle East, and Africa)
LATAM
APAC
LATAM (Latin America)
APAC (Asia-Pacific)

NFLX Revenue by Geography

North America$5.4B+10.0%
EMEA$4.0B+14.0%
Latin America$1.6B+21.0%
Asia Pacific$1.5B+16.0%

Figures from SEC filings and company reports. Not investment advice.