Netflix to Boost Program Spending in 2026, Crimping Profit

<p>Watch Carol and Tim LIVE every day on YouTube: <a href="http://bit.ly/3vTiACF">http://bit.ly/3vTiACF</a>.<br /><br />Netflix Inc. delivered fourth-quarter results that largely beat Wall Street estimates but issued a cautious forecast for the months ahead, citing higher program spending and the cost of closing its deal with Warner Bros. Discovery Inc.<br /><br />The streaming leader said Tuesday it plans to increase spending on films and TV shows by 10% in 2026 while forging ahead with plans to buy the studio and streaming business of Warner Bros., a deal that would unite two of the world&rsquo;s largest entertainment companies. Netflix spent about $18 billion on programming last year, with subscribers growing almost 8% to top 325 million<br />For the current quarter, Netflix forecasts earnings of 76 cents a share, below Wall Street estimates of 82 cents. Sales will be $12.2 billion, in line with estimates. Closing the Warner Bros. deal will add $275 million in costs for this year, on top of the $60 million spent through year end. Netflix will pause share buybacks to accumulate cash for the acquisition, according to its quarterly letter to shareholders.<br /><br />Today's show features:</p> <ul> <li>Eric Clark, Chief Investment Officer at Accuvest Global Advisors, reacts to Netflix&rsquo;s latest results and discusses how to invest in the streaming giant</li> <li>Bloomberg Intelligence Senior Media Analyst Geetha Ranganathan breaks down quarterly earnings from Netflix</li> <li>Bob Michele, Chief Investment Officer and Head of the Global Fixed Income, Currency &amp; Commodities (GFICC) group for JPMorgan Asset Management on the fixed income market, the Federal Reserve&rsquo;s next move</li> <li>Joanna Gallegos, Co-Founder of BondBloxx, on the corporate credit outlook as earnings season kicks into high gear</li> </ul><p>See <a href="https://omnystudio.com/listener">omnystudio.com/listener</a> for privacy information.</p>