Netflix (NFLX) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

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For the quarter ended September 2024, Netflix (NFLX) reported revenue of $9.82 billion, up 15% over the same period last year. EPS came in at $5.40, compared to $3.73 in the year-ago quarter.

The reported revenue compares to the Zacks Consensus Estimate of $9.77 billion, representing a surprise of +0.60%. The company delivered an EPS surprise of +6.09%, with the consensus EPS estimate being $5.09.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Netflix performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Global Streaming Memberships - Paid net membership additions (losses): 5.07 million versus 4.67 million estimated by six analysts on average.

  • UCAN - Paid memberships at end of period: 84.8 million versus the five-analyst average estimate of 85.05 million.

  • APAC - Paid memberships at end of period: 52.6 million compared to the 51.96 million average estimate based on five analysts.

  • Global Streaming Memberships - Paid memberships at end of period: 282.72 million compared to the 282.76 million average estimate based on five analysts.

  • EMEA - Paid memberships at end of period: 96.13 million compared to the 95.61 million average estimate based on five analysts.

  • LATAM - Paid memberships at end of period: 49.18 million versus the five-analyst average estimate of 49.53 million.

  • LATAM - Paid net membership additions (losses): -68 thousand compared to the 853.62 thousand average estimate based on four analysts.

  • LATAM - Average paying memberships: 49.22 million versus the four-analyst average estimate of 49.68 million.

  • Revenue- United States and Canada: $4.32 billion versus $4.32 billion estimated by six analysts on average. Compared to the year-ago quarter, this number represents a +15.7% change.

  • Revenue- Asia-Pacific: $1.13 billion compared to the $1.09 billion average estimate based on six analysts. The reported number represents a change of +19% year over year.

  • Revenue- Latin America: $1.24 billion versus the six-analyst average estimate of $1.23 billion. The reported number represents a year-over-year change of +8.6%.

  • Revenue- Europe, Middle East and Africa: $3.13 billion versus $3.13 billion estimated by six analysts on average. Compared to the year-ago quarter, this number represents a +16.4% change.