Netflix It plans to report second quarter revenues after Thursday’s closure bell.
The streaming service no longer offers investors quarterly subscriber updates, but Wall Street would like to hear about the recent price hikes and how the platform’s growth ad tier has been moving away.
This is what Wall Street is hoping for in the company’s latest quarter.
Earnings per share: $7.08 according to LSEGREVENUE: $11.07 billion, according to LSEG
These results mean 45% revenue growth compared to the previous year, with revenues increasing by more than 15% compared to the previous year.
Netflix recorded a big revenue beat in the first quarter of the year, when revenue rose 13%. The company noted that much of these profits came from raising prices for plans near the end of January.
“We believe Netflix is suited to accelerate the revenue contribution of our ad tier over the next few years, with the addition and improvements of live events, enhanced advertising solutions and targeting capabilities, expanded advertising partnerships and expanded content strategy.”
“While large subscriber growth in 2024 was a major factor, we can expect the ads to boost revenue growth in 2025 to boost revenue in 2026,” she continued. “As Netflix expands, its contribution margins are significantly above our estimates and could drive free cash flow.”
The company’s shares have increased by more than 40% since January and over 90% over the past 12 months.
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