Get the tools used by (smart)2 investors.

EBITDA for Netflix Inc

Join now and get access to the full platform

Search for company or ETF

 

  0 results available. Select is focused ,type to refine list, press Down to open the menu,

NFLX: Netflix Inc

Netflix, Inc. provides entertainment services. The company offers television (TV) series, documentaries, feature films, and games across various genres and languages. It also provides members the abil...

918.00 USD
Price
USD
Fair Value
Upside
542.01 - 1,064.50
52-week range

Analysis

Fiscal Years
Trailing Twelve Months
Fiscal Halfs
Fiscal Quarters
Daily
Hide this widget

The following section summarizes insights on Netflix Inc's EBITDA:

Dec 2016Dec 2018Dec 2020Dec 2022Dec 20244 B8 B12 B

Performance Summary
  • Netflix's latest twelve months ebitda is 10.747 billion
  • Netflix's ebitda for fiscal years ending December 2020 to 2024 averaged 7.026 billion.
  • Netflix's operated at median ebitda of 6.403 billion from fiscal years ending December 2020 to 2024.
  • Looking back at the last 5 years, Netflix's ebitda peaked in December 2024 at 10.747 billion.
  • Netflix's ebitda hit its 5-year low in December 2020 of 4.701 billion.
  • Netflix's ebitda decreased in 2022 (5.97 billion, -6.8%) and increased in 2020 (4.701 billion, +73.6%), 2021 (6.403 billion, +36.2%), 2023 (7.311 billion, +22.5%), and 2024 (10.747 billion, +47.0%).

How does Netflix's EBITDA benchmark against competitors?

Hide this widget

Metric Usage: EBITDA

Hide this widget
ebitda
Slug
number
Datatype
text
Format
current
Default Period
FY, Q, LTM, YTD
Periods Supported
Free
Plan

To view the full list of supported financial metrics please see Complete Metrics Listing.

Similar Metrics

Hide this widget

Metrics similar to EBITDA in the financials category include:

  • Levered Free Cash Flow - The sum of cash from operations and capital expenditures
  • Net Income to Common, Adjusted - This item represents the net Income available to common shareholders of the company adjusted for unusual Items.
  • Cost of Goods Sold - Represents the costs of production and sale of goods or services. Costs encompass those incurred in the manufacturing, sourcing, and distribution of products, including materials, labor, and overhead expenses.
  • Unusual Items - Expense incurred for charges that are deemed to be special or non-recurring.
View Full List

Search for metric or datapoint

EBITDA

Income before interest, taxes, depreciation and amortization adjusted for certain one-time items.

Definition of EBITDA

Hide this widget

EBITDA for Netflix is calculated as follows:

Earnings Before Taxes [ 9.966 B ]
(+) Net Interest Expenses [ 424.7 M ]
(+) Non Operating Expenses [ 27.224 M ]
(+) Depreciation and Amortization [ 328.9 M ]
(+) Unusual Expenses [ zero ]

(=) EBITDA [ 10.747 B ]

EBITDA is defined as Earnings before Interest, Taxes, Depreciation and Amortization excluding unusual items. It is a commonly used metric in valuation as a proxy for operating profitability. EBITDA gives us a clearer picture of profitability when comparing companies with different capital structures. So why is it useful to use EBITDA and ignore interest, taxes, depreciation, and amortization when comparing the performance of different companies?

Difference in Interest Expense

Two companies that are otherwise similar may have different levels of debt. The company with higher debt will likely have higher interest expense and lower Net Income. Since EBITDA ignores interest expense, it is not directly affected by management’s financing decisions.

Difference in Taxes

The amount of a tax a company pays each year is determined by a wide range of factors that does not always reflect the profitability of the company since the taxes a company is subject to reflects factors like political jurisdictions, past loss carryforwards, research and development tax credits, and depreciation on capital assets to name a few.

Depreciation and Amortization

Two companies that are otherwise similar may purchase capital assets (machines, vehicles, buildings, etc.) at different times which can impact depreciation. Ignoring depreciation and amortization allows us to normalize income for these differences.

Unusual Items

Unusual items consist of income or expenses included in a company’s income statement from events, which are unusual and infrequent in nature.

EBITDA is most useful in ratios to benchmark profitability, growth, credit risk, and relative valution. Popular EBITDA benchmark metrics include ebitda margin, ebitda minus capex margin, ebitda growth, and ev / ebitda.


Click the link below to download a spreadsheet with an example EBITDA calculation for Netflix Inc below:

Sector Benchmark Analysis

Sector
Industry Group
Industry
Hide this widget
0 K850 M1.7 B3.382 B0400800

The chart above depicts the distribution of ebitda for companies operating in the Communication Services sector in the Developed economic region. Over 1,555 companies were considered in this analysis, and 1,498 had meaningful values. The average ebitda of companies in the sector is 101.5 M with a standard deviation of 363 M.

Netflix Inc's EBITDA of 10.747 B is significantly outside the interquartile range and is excluded from the distribution. The following table provides additional summary stats:

EBITDA In The Communication Services Sector
Economic Risk RegionDeveloped
Total Constituents1,560
Included Constituents1,498
Min-25.498 M
Max3.345 B
Median0 K
Mean101.5 M
Standard Deviation363 M

You can find companies with similar ebitda using this stock screener.

All rights reserved. Terms Of Use