🚨Breaking: Netflix dropped to a 52-week low in after-hours trading.

After reporting mixed earnings and Q3 guidance below expectations, Netflix fell 9% in after-hours trading.

- Q2 Revenue: $12.56 billion vs. expected $12.58 billion (+13% YoY).

- Q2 EPS: $0.80 vs. expected $0.79 (Net income +9% YoY).

- Q3 Revenue Forecast: $12.86 billion vs. expected $13.00 billion.

- Q3 EPS Forecast: $0.82 vs. expected $0.84.

📊$Netflix(NFLX.US) Q2 Earnings: Revenue met expectations, free cash flow significantly missed

📈Q2 Performance

Revenue of $12.6 billion aligned with market expectations; EPS of $0.80 slightly beat the expected $0.79; however, free cash flow was only $1.5 billion, far below the market expectation of $2.6 billion.

🔮Q3 Guidance

Revenue guidance of $12.9 billion met expectations; EPS guidance of $0.82 was below the expected $0.84; operating margin guidance of 33% was below the expected 34%.

💰Advertising Business Remains a Highlight

The company maintained its guidance for advertising revenue to double to $3 billion in fiscal year 2026, with steady momentum in advertising business growth.