Exponential Learning
Netflix Q3 2026: The Margin Machine Beats, the Ad Business Trims
17:07
Netflix beat on EPS (/bin/bash.87 vs /bin/bash.82 consensus) as operating margin hit 34.6%, up from 28.2% a year ago, on revenue of 2.87B (+12%). Churn improved year over year globally and in the US, better than forecast, and 2026 price increases were absorbed cleanly — the engagement bears got no new evidence. The soft spot: full-year ad revenue trimmed to ~$2.7B from ~$3B on slower ad-product…