Netflix finished 2025 with more than 325 million paid subscribers worldwide, marking nearly 8 percent growth from last year and surprising investors after the company had stopped giving regular subscriber updates.
The streaming giant revealed the milestone in its fourth-quarter shareholder letter, along with strong earnings and fast growth in advertising.
Strong Results in Q4
Netflix reported:
- Revenue: $12.16 billion, up 17.6 percent from last year
- Profit: $2.42 billion
- Operating margin: 24.5 percent
The company beat Wall Street expectations on both revenue and earnings.
Executives said the ad-supported plan is becoming a major growth engine. Netflix earned more than $1.5 billion from advertising in 2025, and now expects ad revenue to double in 2026.
Big Shows and Sports Drove Growth
Netflix said the final season of Stranger Things, along with its Christmas Day NFL games, helped create the biggest streaming day and month in US history.
Live sports and major franchises are now a key part of Netflix’s strategy, a big shift for a company that once said it would never run ads or broadcast sports.
More Spending Coming in 2026
Looking ahead, Netflix plans to:
- Increase programming spending by about 10 percent in 2026
- Expand live sports and big global productions
- Grow its advertising business faster
The company expects first-quarter 2026 revenue of $12.16 billion and profit of $3.26 billion.
Warner Bros Deal Still in Focus
Netflix is also in talks to buy major parts of Warner Bros. Discovery, including its streaming and studio businesses. This week, Netflix changed its offer to an all-cash bid to compete with rival Paramount.
With record subscribers, rising profits, and a fast-growing ad business, Netflix enters 2026 as the clear leader in global streaming.
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Related: Road to $1 Trillion: How Netflix Plans to Become Tech Giant, Not Just Streamer
