• by Wayne Friedman , April 17, 2025

Although Netflix is no longer disclosing future subscriber numbers, the premium streamer continues to see strong and rising revenue growth (15%) to $10.5 billion for the first quarter of 2025 -- significantly higher than analysts' and company estimates.

It also posted higher operating income of $3.3 billion ($2.6 billion in first quarter 2024) with better operating margins of 32%, up from 28% in the year ago period.

“Netflix ironically has become a bit of a defensive play right now,” Malcolm Ethridge, managing partner, Capital Area Planning group, told CNBC on Thursday.

He added: “[It is] where consumer spending has definitely changed: They are not spending on bigger ticket items and not traveling as much. But they are still willing to pay for home entertainment.”

Ethridge believes Netflix is continuing to add more subscribers. At the end of 2024, Netflix said it had 302 million global subscribers, with 80 million subscribers in the United States.

Netflix stock was up 5% to $1,022 in after-market trading.

In the second-quarter period, it projects $11.0 billion in revenue -- which would be 15% more versus a year ago -- and $43.5 billion to $44.5 billion in revenue for the entire 2025 year.

Although Netflix has said it would no longer disclose global and territorial subscribers, it now talks up audience and viewers. Netflix estimates the global audience is now more than 700 million -- with two-thirds outside the U.S. The company says it now produces TV and movies in over 50 countries.

In the first quarter, Netflix streamed “Adolescence” -- its third-biggest English-language TV series ever, which took in 124 million views -- and its sixth-biggest English-language film, “Back in Action,” starring Cameron Diaz and Jamie Foxx, with 146 million views.

Nearly half of Netflix revenue comes from the U.S. and Canada -- up 9% in the quarter to $4.6 billion.

This is lower than the 15% gain in the first quarter of 2024 versus the previous year-ago quarter. Netflix believes this is partially due to a price change, and it expects to “reaccelerate” revenue in the second quarter.

The second-biggest territory for revenue is Europe, the Middle East and Africa (EMEA), which grew 15% in the period to $3.4 billion.