NFLX Stock Sinks Over 8% After-Hours — Q2 Revenue Miss And Q3 Weak Guidance Weigh On Netflix Shares

Netflix shares fell more than 8% in after-hours trading after Q2 revenue of $12.56 billion missed Wall Street estimates of $12.58 billion, despite an earnings beat of $0.80 vs $0.79 expected. Third-quarter guidance was soft, with EPS forecast at $0.82 on revenue of $12.86 billion, both below analyst expectations of $0.84 EPS and $13 billion revenue.

Why it matters: Netflix announced it will switch its engagement report to an annual release starting in 2027, while highlighting that live programming drove six of the ten biggest new-member sign-up days despite representing only about 5% of content budget.