iWorld
Netflix fires on all cylinders as profits surge and Warner Bros deal looms
CALIFORNIA: Netflix ended 2025 with a muscular show of financial strength, pairing double-digit revenue growth with swelling margins, surging advertising income and a sharpened focus on cash, even as competition across entertainment intensifies and the company prepares for its biggest corporate gamble yet.
“In 2025, we met or exceeded all of our financial objectives,” the company told shareholders, setting the tone for a year that saw Netflix morph further from a subscriber-hungry disruptor into a disciplined, profit-led media heavyweight.
Revenue for the year hit $45.2bn, up 16 per cent year on year, or 17 per cent on an F/X-neutral basis, while operating margin expanded to 29.5 per cent, a three-point jump. Advertising revenue rose more than 2.5 times to over $1.5bn, marking a decisive shift in Netflix’s revenue mix.
The December quarter capped the year in style. Revenue climbed 18 per cent year on year, paid memberships crossed the 325m mark and operating income jumped 30 per cent. “Engagement remains healthy,” the company said, noting that view hours in the second half of 2025 rose 2 per cent year on year, driven by a 9 per cent surge in viewing of branded originals.
Pricing power and ads do the heavy lifting
Netflix said Q4 revenue growth was “driven primarily by membership growth, higher pricing, and increased ad revenue”, adding that revenue landed 1 per cent above guidance despite unfavourable currency movements, helped by stronger-than-forecast membership growth and ad sales.
Operating income for the quarter reached $3.0bn, up 30 per cent year on year, while operating margin expanded to 25 per cent, “both slightly ahead of our forecast due primarily to the revenue upside”. Diluted earnings per share rose 31 per cent year on year to $0.56.
Net income, the company noted, included around $60m of costs linked to interest expenses from bridge financing related to the Warner Bros transaction, costs that had not been included in guidance.
“Our primary financial metrics are revenue for growth and operating margin for profitability,” Netflix said. “Our goal is to sustain healthy revenue growth, expand operating profit and margin, and deliver growing free cash flow.”
2026: higher margins, more ads, bigger bets
Looking ahead, Netflix forecast 2026 revenue of $50.7bn–$51.7bn, implying growth of 12–14 per cent year on year, or 11–13 per cent on an F/X-neutral basis. Advertising revenue is expected to “roughly double” compared with 2025.
The company is targeting a 2026 operating margin of 31.5 per cent, even after absorbing roughly $275m of acquisition-related expenses. While content amortisation is expected to rise about 10 per cent, Netflix said it still sees “plenty of room to increase our margins” and intends to grow operating margin each year, even if the pace of expansion varies.
Engagement holds as original power viewing
With more than 325m paid memberships, Netflix said it is now serving an audience “approaching one billion people globally”. In the second half of 2025, members watched 96bn hours of content, up 2 per cent year on year, with branded originals leading the charge.
The company credited strong performances from returning series including Stranger Things, Emily in Paris, Selling Sunset and Record of Ragnarok, alongside new shows such as The Beast in Me, Rulers of Fortune and Last Samurai Standing. Documentaries, stand-up specials and films also delivered heavyweight viewing, led by Guillermo del Toro’s Frankenstein and Wake Up Dead Man: A Knives Out Mystery.
That growth was partially offset by a decline in non-branded viewing, reflecting a lower volume of licensed content following the production shutdowns caused by the writers’ strike in 2023–24.
“Our goal is to continue to grow engagement,” Netflix said, stressing that it will do so “first and foremost by improving our core series and film offering”.
A broader slate and deeper fandom
Netflix outlined an expansive 2026 slate spanning returning franchises such as Bridgerton, ONE PIECE, The Diplomat and Lupin, new scripted series including Pride & Prejudice, East of Eden and Operation Safed Sagar, and a broad lineup of films featuring Greta Gerwig’s Narnia, Peaky Blinders: The Immortal Man and Enola Holmes 3.
The company also plans to expand licensed content, including a new US film deal with Universal, additional Paramount titles and an expanded global pay-one agreement with Sony Pictures Entertainment.
Not all hours are equal, Netflix said, stressing that “fandom is a powerful engine for our business”. Deep audience connections drive retention, word of mouth and brand loyalty, as seen with Stranger Things, Bridgerton and KPop Demon Hunters. The company pointed to record traffic at Tudum and strong footfall at its new Netflix Houses as evidence of that pull.
Live, games and product innovation
Live programming, while still a small slice of total viewing, delivers “outsized value”, Netflix said, citing major events such as Anthony Joshua’s knockout of Jake Paul and NFL Christmas Day games. In 2026, Netflix will stream all 47 games of the World Baseball Classic live in Japan, its first major local live event outside the US.
On gaming, Netflix has begun rolling out cloud-delivered TV-based party games and plans to expand the lineup in 2026, including a reimagined FIFA football title.
Product innovation remains central. Netflix said it will continue to enhance discovery, interactivity and personalisation, while expanding its use of AI to support advertisers, creators and localisation.
Cash piles up as deal-making accelerates
Cash flow remains robust. Operating cash flow reached $10.1bn in 2025, while free cash flow hit $9.5bn, ahead of guidance. For 2026, Netflix expects free cash flow of roughly $11bn.
During Q4, the company repurchased 18.9m shares for $2.1bn but said it will pause buybacks to accumulate cash ahead of the Warner Bros acquisition. Gross debt stood at $14.5bn at year-end, with $9.0bn in cash.
In December, Netflix announced plans to acquire Warner Bros in an all-cash deal valued at $27.75 per share. The company said the revised structure “expedites the timeline” and provides “greater certainty of value”.
“We believe our proposed purchase of Warner Bros will allow us to accelerate our business strategy,” Netflix said, pointing to the strength of Warner Bros’ library and the addition of HBO Max as key strategic wins.
Competing for attention, not just screens
Netflix reiterated that it competes not just with other streamers, but with “all activities people engage with during their leisure time”, from gaming and social media to live events. Despite gains, its share of TV time in major markets remains below 10 per cent.
“We relish competition and work to earn more of consumers’ attention,” the company said.
Longer-term returns underline why investors are still listening. Since its 2002 listing, Netflix stock has delivered cumulative returns of more than 87,000 per cent, far outpacing the S&P 500 and Nasdaq. Over the past decade alone, annualised returns stand at 23 per cent, compared with 15 per cent for the S&P 500, even after a more modest 5 per cent rise over the past year.
Management insists that short-term volatility remains secondary to long-term execution. “We continue to manage our business for the long term and under the belief that pleasing our members will lead to strong value creation for our fellow shareholders,” the company said, thanking investors “for their trust and for coming along with us on our journey to build one of the world’s leading entertainment companies”.
That message will face scrutiny later today when co-chief executives Greg Peters and Ted Sarandos appear alongside cfo Spencer Neumann and finance head Spencer Wang in a live earnings interview, fielding questions on advertising momentum, margin discipline and the scale of the Warner Bros bet.
For now, Netflix is signalling confidence. Growth is slowing, but profitability is accelerating. Competition is fierce, but attention is still flowing its way. And with cash piling up, margins widening and the industry’s most audacious acquisition in motion, the streamer is no longer playing defence.
It is rewriting the rules — again.
iWorld
Netflix celebrates a decade in India with Shah Rukh Khan-narrated tribute film
MUMBAI: Netflix is celebrating ten years in India with a slick anniversary film voiced by Shah Rukh Khan, a nostalgic sprint through a decade that rewired how the country watches stories. The campaign doubles as both tribute and reminder: streaming did not just enter Indian homes, it quietly rearranged them.
Roll back to 2016 and television still dictated schedules. Viewers waited weeks, sometimes months, for favourite films to appear on prime time. Family-friendly filters narrowed options further, and piracy often filled the gaps. Then Netflix arrived, softly but decisively, carrying a catalogue of international titles rarely seen in Indian theatres and placing them a click away. Old blockbusters and new releases suddenly coexisted on the same digital shelf.
The platform’s real inflection point came in 2018 with Sacred Games, a breakout series that refused to dilute India’s grit for global comfort. Audiences embraced its unvarnished tone, signalling readiness for stories that did not need box-office validation or censorship compromises. What followed was a steady procession of relatable narratives. Competitive-exam anxiety fuelled Kota Factory. College relationships unfolded in Mismatched. Everyday pressures, not grand spectacle, proved bankable.
Language barriers thinned as foreign series arrived with Hindi, Tamil and Telugu dubbing, expanding viewership beyond urban English-speaking pockets. Marketing mirrored the shift. For global releases such as Squid Game, Netflix leaned on regional creators and influencers to localise buzz and make international content feel native.
The library widened beyond fiction. Documentaries stepped out of festival circuits into living rooms. Stand-up comedians found scale. Established filmmakers, including Sanjay Leela Bhansali with Heeramandi, embraced the platform’s long-form canvas. Subscriber numbers swelled to 12.37 million in India, according to Demandsage, and behaviour followed suit. Late-night binges became routine. Friday release rituals loosened. Watch parties turned solitary screens into social events.
Economics demanded adjustment. Early subscription pricing carried a premium aura that deterred many households. Over time, Netflix recalibrated plans to align with Indian spending sensibilities, conceding that accessibility is as critical as content. To extend momentum around marquee titles, the platform also experimented with split-season releases, stretching anticipation and watch time.
The anniversary film, narrated by Shah Rukh Khan, captures the linguistic shift that mirrors the cultural one: from “Netflix pe kya dekha?” to “Netflix pe kya dekhein?” The question moved from recounting the past to planning the next binge. In ten years, Netflix morphed from foreign entrant to familiar fixture, exporting Indian stories abroad while importing global ones home. The remote no longer waits; it chooses, clicks and moves on. In the streaming age, patience is out, playlists are in, and the next episode is always one tap away.
e-commerce
Tulasi Mohan Padavala elevated to Associate Director at Blinkit
Gurugram: Blinkit has elevated Tulasi Mohan Padavala to associate director, capping a three-year climb inside the quick-commerce firm and signalling confidence in an executive steeped in ecommerce, category management and on-ground sales execution.
Padavala shared the update publicly, saying he was “happy to share” the promotion, a succinct announcement that nevertheless marks a notable step up within one of India’s fastest-moving delivery platforms. The new role follows nearly three years at Blinkit, where he most recently served as senior category manager from February 2023 to January 2026, focusing on strategic sourcing and assortment planning.
The promotion places Padavala in Blinkit’s mid-to-senior leadership tier at a time when the company continues to expand its rapid-delivery footprint and sharpen category economics. His brief tenure as associate director began in January 2026, with responsibilities expected to span category growth, supplier strategy and cross-functional execution.
Before Blinkit, Padavala spent a short but intensive stint as global ecommerce manager at Wholsum Foods, the parent of Slurrp Farm and Millé, between November 2022 and February 2023. There he worked on digital marketplace expansion and online retail operations, adding a direct-to-consumer and international ecommerce layer to his résumé.
A longer stretch at Amazon shaped much of his cross-border commerce experience. As business development manager for Amazon’s India Global Selling programme from February 2021 to October 2022, Padavala helped Indian D2C brands enter the North American market. His remit ranged from seller recruitment and category revenue management to coordination with industry bodies, regulators and logistics partners. Key outcomes included launching more than 50 D2C consumable brands in the United States, driving a cumulative gross merchandise sales figure of $1m in FY21-22, tripling sales for participating brands during Prime Day through marketing and visibility levers, growing the monthly recurring revenue of more than 10 newly launched sellers from zero to an average $20,000 each, and negotiating ecommerce partnerships that reduced initial launch costs by 20 per cent.
Padavala’s earlier career was forged in the field rather than the dashboard. At Coffee Day Group, he spent close to five years across multiple sales leadership roles. As sales manager in the Greater Delhi Area from July 2019 to January 2021, he led vending-machine and consumables sales for small and medium enterprises with a team of more than 15 assistant and territory sales managers, managed over 2,000 clients, drove upselling and cross-selling, maintained channel partnerships and ensured timely collections. Prior to that, he served as area sales manager in Delhi between May 2018 and June 2019, handling south and east Delhi markets, and earlier in Hyderabad from April 2016 to May 2018, where he led Andhra Pradesh sales for the vending division, supervised service and logistics functions and managed a base of more than 600 machines with a four-member team.
His professional arc began with internships that combined analytics and process improvement. At Boehringer Ingelheim in 2015, Padavala analysed the impact of brand extension on the drug Pradaxa, identified key performance indicators through market research and assessed sales forecasts, recommendations that drew positive responses in pilot studies. Earlier, at Genpact in 2014, he automated manual sales-order backlog reporting using VBA and Excel, increasing efficiency by 800 per cent, and worked on benchmarking metrics within supply-chain planning processes.
From automating spreadsheets to scaling cross-border ecommerce and now steering quick-commerce categories, Padavala’s trajectory tracks the evolution of India’s retail economy itself. Blinkit’s bet is clear: blend data, discipline and delivery speed. The promotion formalises what his career already suggests. In the race for instant commerce, experience that moves from warehouse floors to global dashboards is no longer optional. It is the engine.
e-commerce
Bharatpe plays a super over as Rohit Sharma fronts T20 push
MUMBAI: When the stakes rise and seconds matter, even payments need a match-winning finish. That’s the cue for Bharatpe, which has rolled out Super Over, a nationwide campaign led by Indian cricket captain Rohit Sharma, timed neatly ahead of the ICC Men’s T20 World Cup.
The campaign draws a straight line between the pulse of cricket and the pace of everyday digital payments. A new brand film taps into India’s emotional bond with the game, while positioning UPI as the quiet hero that keeps daily transactions ticking along at match speed.
As part of Super Over, users making payments via Bharatpe UPI can bag daily rewards ranging from match tickets and signed merchandise to a chance to watch a T20 World Cup fixture alongside Rohit Sharma himself. Both consumers and merchants are also assured Zillion Coins on every eligible transaction, adding a little extra sparkle to routine payments.
Behind the scenes, Bharatpe is also batting for safety. The platform is backed by Bharatpe Shield, a fraud-protection layer designed to offer enhanced security, comprehensive coverage and dedicated support aimed at helping users transact with greater confidence as digital payments scale up.
Announcing the campaign, Bharatpe head of marketing Shilpi Kapoor said Super Over mirrors the aspirations of everyday Indians, combining speed, security and instant rewards to make UPI transactions feel both reliable and rewarding.
The campaign will play out across digital platforms, social media and on-ground activations nationwide, staying live through the T20 World Cup season proof that in cricket, as in payments, timing is everything.
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