Netflix Edges Wall Street’s Q4 Estimates, Says Ad Revenue Topped $1.5B In 2025

Netflix‘s fourth-quarter results edged Wall Street analysts’ estimates, and the company cited “great progress” in its ongoing buildout of an advertising business.

Earnings per share came in a penny ahead of expectations at 56 cents, while revenue of $12.051 billion exceeded the target of around $12 billion.

The holiday quarter ending December 31 featured the powerhouse launch of the final season of Stranger Things and a successful NFL Christmas Day doubleheader that propelled total streaming to a new industry record.

In the second half of 2025, the company said in its quarterly letter to shareholders, total viewing hours increased 2% over the same period in 2024, driven by a 9% rise in viewing of branded originals.

In 2025, which was its third full year of selling advertising (which it spent years vowing not to do), the company said it has made “great progress” in the effort. Total ad revenue topped $1.5 billion, which was two-and-a-half times the haul in 2024.

While Netflix stopped reporting quarterly subscriber totals a year ago, saying engagement and other metrics are a better gauge of its performance, the company said in the shareholder letter that its base is now north of 325 million. The company ended the go-go subscriber era with a bang, adding almost 19 million sign-ups in the quarter and hitting 301.6 million global subscribers.

Beyond the financials, Wall Street and the entertainment sector will be listening closely when top executives field questions Tuesday afternoon in the company’s quarterly earnings interview. After stunning the industry in December by announcing a $82.7 billion proposal to acquire Warner Bros., Netflix has been looking to thwart Paramount’s hostile bid for the company.

MORE to come …