Netflix income rose 44% to $3.66 billion, but its shares fell about 6% in after-hours trading|Lyncconf Games|CC BY 2.0
Netflix reported its slowest quarterly revenue growth in three years despite cutting jobs and replacing senior positions as it works to attract viewers and improve its programming.
The streaming giant generated $12.9 billion in third-quarter revenue, up 12% from a year earlier. Net income rose 44% to $3.66 billion, but its shares fell about 6% in after-hours trading.
Co-CEO Ted Sarandos said the company plans to strengthen its television shows and movies, which account for roughly 95% of its programming budget.
Netflix expects 2026 revenue of $51.1 billion, up 13%, slightly below its earlier outlook. Slower advertising growth contributed to the revision, despite stronger subscription revenue and expanding profit margins.
In the past week, Netflix cut about 1,000 jobs and replaced content chief Bela Bajaria with former Disney executive Peter Rice.