US EditionNetflix shares drop after streamer misses earnings estimates, citing Brazilian tax dispute
Netflix's third-quarter revenue rose 17.2% to $11.51 billion but missed earnings estimates due to a $619 million tax expense from a dispute with Brazilian authorities.
- After the market closed Tuesday, Netflix reported third-quarter results with earnings per share of $5.87 versus $6.97 expected, causing shares to fall 5.5%.
- A $619 million charge tied to Brazil reduced Netflix's operating margin to 28% versus guidance of 31.5%, but the company said it expects no material future impact.
- Netflix reported a 17.2% rise in revenue to $11.51 billion in the third quarter, with net income at $2.55 billion and operating income up 12%.
- The results coincide with a new Spotify partnership to bring Spotify Studios and The Ringer podcasts in early 2026, while CNBC reported Netflix and Comcast interest in Warner Bros. Discovery's streaming assets.
- The company is expanding into non-core areas as Netflix advances initiatives like podcasts, physical locations and games, while co-CEO Greg Peters said mergers 'don’t have an amazing track record' and growth options must be weighed carefully.
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98 Articles
Netflix stock drops 6% after earnings miss due to $619 million expense from Brazilian tax fight
Netflix co-CEO Ted Sarandos' company grew revenue again in the third quarter, but missed big on earnings per share due to a tax-related expense.Kevin Dietsch/Getty ImagesNetflix generated record revenue last quarter, but it incurred an approximately $619 million expense due to a tax dispute.Shares fell 6% after hours as its operating income came in below expectations.Netflix said it had its "best ad sales quarter ever," and execs fielded questio…
Despite expected revenues, Netflix streaming giant's profit plunged into the third quarter, far from the $3 billion expected.
Netflix made a profit of $2.5 billion in the third quarter, below the 3 billion expected, penalized notably by a tax dispute in Brazil. ...
Netflix, the streaming series, film and video company, won $2,547 million during the third quarter of the year, the equivalent of around €2.2 billion to the current change, representing an increase of 7.75% over the results of the same period of the previous year. The company came from a second quarter record in both profits and revenues.
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