Bloomberg Podcasts
@bloombergpodcasts·503K subscribers·32.4K videos
Netflix Earnings Fall Flat As Tax Dispute Hits Bottom Line
Posted
October 21, 2025
Views
5,443
Likes
17
Comments
3
Engagement
October 21, 2025
5,443
17
3
0.37%
Every word spoken in this episode is indexed. Type any phrase to jump straight to the moment it was said.
Type any word or phrase that may have been spoken. Click a result to seek the player to that exact moment.
Try a name, a topic, or a quoted line
See what was published immediately before and after this episode.
4:53Now PlayingNetflix shares dropped Tuesday after the streaming giant released lackluster third quarter earnings. Bloomberg's Felix Gillette says that things are going well for Netflix within programming, despite the financial impacts of a costly tax dispute in Brazil.
Netflix Inc. said a tax dispute with Brazil cut into third-quarter earnings, marring results that otherwise fell in line with Wall Street estimates.
The world’s most valuable entertainment company posted quarterly operating income of $3.24 billion, according to a statement Tuesday, about $400 million below its own forecast and analysts’ estimates. The company’s outlook for the current quarter is largely in line with Wall Street projections.
Netflix had to pay about $619 million to settle a multiyear tax dispute with Brazilian authorities going back to 2022. The company had identified the potential risk in previous filings – but not in its earnings guidance — and said it would have beaten forecasts if not for the expense. Future payments will be smaller.
“We don’t expect this matter to have a material impact on future results,” the company said.
Shares of Netflix fell as much as 7.5% to $1,147.64 in extended trading after the results were announced. The stock hit an all-time high of $1,341.15 on June 30, the final day of the previous quarter, and has drifted lower over the last few months.
The dispute depressed what many investors thought would be a big quarter for the Los Gatos, California-based streaming leader.
--------
Watch Bloomberg Radio LIVE on YouTube
Weekdays 7am-6pm ET
Follow us on X
Subscribe to our Podcasts:
Bloomberg Daybreak
Bloomberg Surveillance
Bloomberg Intelligence
Balance of Power
Bloomberg Businessweek
Listen on Apple CarPlay and Android Auto with the Bloomberg Business app:
Apple CarPlay
Android Auto
Visit our YouTube channels:
Bloomberg Podcasts
Bloomberg Television
Bloomberg Originals
Sentinel Indexing in Progress
Metadata and chapters are available. Claim extraction for this episode is pending.
All video content is delivered via YouTube embedded players in accordance with the YouTube Terms of Service. Sentinel provides research tools that promote discovery and accountability across political media.
