Netflix reported third-quarter revenue of $11.5bn, up 17% and in line with expectations.
Operating income rose 12% to $3.2bn. Operating margin was 28% (32% expected), impacted by a $619mn one-time expense tied to a Brazilian tax dispute.
Free cash flow rose 21% from last year to $2.7bn, and net debt was at $5.2bn.
For the fourth quarter, revenue is expected to grow 17% (or 16% if ignoring currency moves), with an operating margin of 24%. Full-year revenue is expected around $45.1bn, with growth at the top end of 15-16% range.
The shares were down 6.5% in pre-market trading.
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Netflix key facts
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This article is original Hargreaves Lansdown content, published by Hargreaves Lansdown. It was correct as at the date of publication, and our views may have changed since then. Unless otherwise stated estimates, including prospective yields, are a consensus of analyst forecasts provided by LSEG. These estimates are not a reliable indicator of future performance. Yields are variable and not guaranteed. Investments rise and fall in value so investors could make a loss.
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