Netflix reports Q2 EPS $7.19, consensus $7.06

Reports Q2 revenue $11.08B, consensus $11.04B. Netflix (NFLX) said in its quarterly letter to investors: “Our Q2 revenue increased by 16% year over year (17% on a foreign exchange neutral basis ). Year-over-year revenue growth was primarily a function of more members, higher subscription pricing and increased ad revenue. All regions experienced healthy year-over-year revenue growth, with each region posting double-digit F/X neutral increases. UCAN revenue growth accelerated year over year to 15% vs. 9% in Q1’25 due to the full quarter impact of price changes. Revenue was slightly above our guidance due primarily to favorable F/X impact, net of hedging. Member growth was ahead of our forecast, although this occurred late in the quarter, limiting the impact on Q2 revenue. Operating income totaled $3.8B, up 45% year over year, and operating margin was 34% vs 27% in Q2’24. Both operating income and operating margin were slightly ahead of our forecast given the revenue upside in the quarter and timing of expense spending. Diluted EPS amounted to $7.19 vs. $4.88 last year (+47% year over year).”