Netflix's revenue climbed 17.2% to $11.51 billion in its third quarter of 2025, driven primarily by subscriber growth, pricing adjustments and increased ad revenue.
The company reported net income of $2.55 billion, compared to $2.36 billion a year ago, and earnings per share of $5.87, which was lower than the expected $6.97 per share.
Despite the revenue growth, shares fell 5.5% after the company reported lower than expected earnings per share and an operating margin of 28%, below its guidance of 31.5% due to a dispute with Brazilian tax authorities.
Excluding the $619 million expense related to the dispute, Netflix said it would have exceeded the operating margin forecast and doesn't expect the dispute to have a material impact on its future results.
Author's summary: Netflix's Q3 revenue grows 17.2% to $11.5 billion.