Netflix's Q1 revenue is expected to be $10.491 billion, adjusted net income is $2.54 billion, and adjusted EPS is $5.762, according to Bloomberg's consistent expectations.
Streaming giant Netflix will post its first quarter 2025 financial results and business outlook on Thursday, April 17, 2025.
Netflix's Q1 revenue is expected to be $10.491 billion, adjusted net income is $2.54 billion, and adjusted EPS is $5.762, according to Bloomberg's consistent expectations.
Netflix beat on the top and bottom lines for the fourth quarter and raised its 2025 revenue forecast. The company surpassed 300 million paid memberships during the quarter, adding a record 19 million subscribers. The fourth quarter was the last for which Netflix will report quarterly paid subscriber counts.
Here’s how Netflix performed for its most recent quarter, ended Dec. 31, compared with Wall Street estimates:
Earnings per share: $4.27 vs. $4.20, according to LSEG
Revenue: $10.25 billion vs. $10.11 billion, according to LSEG
Paid memberships: 301.63 million vs. 290.9 million, according to StreetAccount
Netflix will no longer disclose subscriber metrics starting in 1Q, yet growth will persist on a loaded content slate and momentum from 4Q, when it added 19 million members.
The focus now turns to revenue growth (1Q guidance of 11%) and average revenue per member (ARM), which likely got a boost from recent US and UK price increases, along with steady user gains.
Confidence has been building for margin expansion, with management targeting 29% in 2025 after posting a 600-bp jump in 2024 to 27%.
Fundamentals are solid, anchored by double-digit revenue gains and cash flow increasing to at least $8 billion this year. That will rise even higher in 2026, potentially fueling buybacks.
Netflix is still building streaming dominance by expanding users and increasing ARM through a combination of premium content and strategic pricing.
Netflix stock is a new “top pick” of analysts at Morgan Stanley, who see the streaming giant as well-positioned to withstand the current tariff landscape.
“We expect Netflix to demonstrate relative resilience in a weaker global macro,” Morgan Stanley said Tuesday, reiterating an “outperform” rating and $1,150 price target for the stock.
JPMorgan Chase has lowered its target price for netflix from $1150 to $1025. This adjustment comes as the company continues to navigate the competitive streaming landscape and adapt to changing viewer preferences. The move by jpmorgan chase suggests a cautious outlook on Netflix's future performance, potentially influenced by factors such as content costs, subscriber growth, and market competition.
KeyBanc lowered the firm’s price target on Netflix to $1,000 from $1,100 and keeps an Overweight rating on the shares.
The firm’s ad agency checks are deteriorating, with budget growth expectations now landing in the 3%-5% range. While digital ads should generally outpace the market by 2-3 turns, KeyBanc is incrementally cautious that ripple effects on supply chains and consumer spending could pressure margins and EPS across the group.
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