Netflix Q3 Beats but Q4 Guide Disappoints; Shares Drop 5%
Netflix beat Q3 EPS and operating income estimates but missed Q4 revenue and margin guidance, sending shares down as much as 5% as the company struggles to draw new subscribers.
What we know
Netflix Q3 results were a mixed bag. An account on X summarized: Revenue $12.87B in-line, EPS $0.87 beat $0.82 est., Operating Margin 34.6% (+640 bps YoY). But Q4 disappointed: revenue guided to $13.44B vs $13.51B est., operating margin 26% vs 27.6% est.. FY FCF was cut to ~$12B from ~$12.5B. @FT noted shares fell up to 5% as the company 'struggles to draw in new subscribers and pins its hopes on a former Disney executive to reignite its creative products.' another account on X flagged the Q4 operating margin miss as the key negative.
Sources
“Netflix's shares fell as much as 5% after downbeat outlook as it struggles to draw in new subscribers”
View post →By the Global Eye 24 desk, with AI assistance. Updated as the story develops. Spot an error? Write to corrections@globaleye24.com.