Netflix has decided to stop sharing how many subscribers it has every three months. This change might seem odd, but the company is still doing great. In the first three months of 2025, Netflix made $10. 54 billion, which is 12. 5% more than the same time last year. Each share of the company's stock made $6. 61, up from $5. 28 a year ago. The company's operating margin, which is the profit it makes after paying for its operations, was 31. 7%, up from 28. 1% in the first three months of 2024.

Netflix's decision to stop reporting subscriber numbers is a big deal. For a long time, investors used this number to see how well the company was doing. Now, Netflix wants to talk more about how much money it makes and how engaged its users are. This shift comes as the company faces worries about a possible economic slowdown, which could affect how much people spend and how much money is available for advertising.

So, why the change? Some experts think Netflix is trying to hide the fact that its subscriber growth is slowing down. Others point out that other big companies, like Apple, have done similar things. By focusing on money and user engagement, Netflix can show that it's still growing, even if it's not adding as many subscribers as before.

Netflix is also raising its prices. In the first three months of 2025, the company increased prices in the U. S. , the U. K. , and Argentina. It also plans to raise prices in France. This price hike, along with more people signing up and advertising revenue, is expected to help Netflix make even more money in the next three months. The company is predicting a 15% increase in revenue and an operating margin of 33%, which is a big improvement from last year.

Netflix ended 2024 with 301. 6 million paying subscribers worldwide, which is a 16% increase from the year before. But the company argues that the number of subscribers isn't as important as how much money it makes and how engaged its users are. This is especially true now that Netflix offers different price plans and a paid-sharing option, which lets subscribers add extra members to their accounts for an additional fee.

Netflix is also making some big changes to its leadership. Co-founder Reed Hastings is stepping down from his role as executive chairman and will now serve as a non-executive director. During the first three months of 2025, Netflix paid off $800 million of debt and bought back 3. 7 million shares for $3. 5 billion. The company ended the quarter with $15. 1 billion in debt and $7. 2 billion in cash and equivalents. In the next three months, Netflix has $1 billion of debt maturities, which it plans to pay off with money from a bond deal it made last year.

Netflix's Big Shift: Focusing on Money Over Subscribers

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