Netflix Q3 2025 Earnings Miss Expectations as $600 Million Brazil Tax Dispute Weighs on Profit

reported a net profit of $2.5 billion, or $5.87 per share, below analyst forecasts of around $7 per share and the expected $3.01 billion in net income. 

Revenue rose 17% year-over-year to $11.51 billion, meeting consensus estimates. The operating margin of the company decreased to 28% as a result of the continuous regulatory issues and the increased expenses.

Following the announcement, Netflix shares fell about 5%, reflecting investor concern over profitability pressures.