Key Points:
- Revenue: $11.1 billion, up 16% compared to Q2 2024.
- Operating Income: $3.8 billion (+45%).
- Operating Margin: 34% (+7%).
- Diluted EPS: $7.19 (+47).
- Free Cash Flow: $2.3 billion (up from $1.2 billion during Q2 2024).
- 2025 Revenue Forecast: Raised to $44.8–$45.2 billion.
Strong interest in Netflix’s content and advertising opportunities helped drive overall global revenue during the second quarter (Q2) of 20525, the streaming video company reported on Thursday.
Netflix earned $11.1 billion in revenue during Q2, a 16 percent year-over increase and up from the $10.5 billion the company earned during Q1. Operating income rose to $3.8 billion, a 45 percent increase, while operating margin expanded to 34 percent, up from 27 percent in Q2 2024. Diluted earnings per share were $7.19, a 47 percent increase from the previous year.
“Both revenue and operating income were slightly above our guidance due primarily to F/X, net of hedging, and the timing of expenses,” the company wrote.
All geographic regions showed double-digit foreign exchange-neutral revenue growth, with the U.S. and Canada (UCAN) region posting a 15 percent gain year over year. Notably, UCAN’s revenue growth accelerated from 9 percent in Q1 2025, benefiting from the full-quarter impact of recent price adjustments.
• Special Coverage: 2025 Q2 tech, media and telecom earnings
Looking ahead, Netflix has raised its full-year 2025 revenue forecast to a range of $44.8 billion to $45.2 billion, up from prior guidance of $43.5 billion to $44.5 billion.
“The majority of the increase in our revenue forecast reflects the recent depreciation of the US dollar vs. most other currencies, with the balance attributable to continued business momentum driven by solid member growth and ad sales,” the company explained.
Record Engagement
Netflix engagement reached new highs in the first half of 2025. Members watched over 95 billion hours, a 1 percent increase year over year, despite a content slate weighted toward the second half of the year.
“Non-English language series and films are very popular and represented more than one-third of all Netflix viewing in the first half of the year,” the company noted. “Our most-watched titles during this period reflect that great stories can come from anywhere.”
Standout titles included “Squid Game” Season 3 (122 million views), “Sirens” (56 million), “Ginny & Georgia” Season 3 (53 million), and “The Eternaut from Argentina” (29 million). Netflix also reported strong film performance from Tyler Perry’s “STRAW” (109 million views), “Exterritorial” (89 million), and “KPop Demon Hunters” (80 million), which became one of the platform’s most popular animated releases ever.
“Our new film KPop Demon Hunters is one of our biggest animated films ever and is becoming a sensation,” Netflix highlighted, noting the soundtrack’s chart-topping success on Billboard, Spotify, Apple Music, and iTunes.
Despite hits like Squid Game, Netflix emphasized the diversity of its viewership: “Our viewing is very broad, and we’re not dependent on any one title to drive engagement—for instance, even our biggest titles that have tens of millions of views account for less than 1 percent of total viewing on Netflix in the reporting period.”
“We’re optimistic heading into the second half of the year,” the company stated, citing a “standout slate” of content and continued innovation in advertising and product design.
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