REPORTABLE SEGMENTS (Tables)

3 Months Ended

Mar. 31, 2026

The tables below present summarized financial information for each of the Company’s reportable segments (in millions).

Revenues


	Three Months Ended March 31,
	2026		2025
Streaming	$	2,887	$	2,656
Studios	3,125		2,314
Global Linear Networks	4,377		4,774
Corporate	1		—
Inter-segment eliminations	(1,497)		(765)
Total revenues	$	8,893	$	8,979

Reconciliation of Revenues to Segment Adjusted EBITDA


	Three months ended March 31, 2026
	Streaming		Studios		Global Linear Networks
Revenues	$	2,887	$	3,125	$	4,377






Less:
Content expense (a)	1,531		1,603		1,592
Personnel expense (b)	186		251		529
Marketing expense	285		275		129
Other segment expenses (c)	447		221		493
Segment Adjusted EBITDA	$	438	$	775	$	1,634


	Three months ended March 31, 2025
	Streaming		Studios		Global Linear Networks
Revenues	$	2,656	$	2,314	$	4,774






Less:
Content expense (a)	1,504		1,339		1,832
Personnel expense (b)	186		230		496
Marketing expense	220		252		104
Other segment expenses (c)	407		234		549
Segment Adjusted EBITDA	$	339	$	259	$	1,793

(a) Content expense includes amortization, impairments, participations, residuals, development expense, and production costs, including talent costs, and is a component of costs of revenues. Content expense excludes content impairments and other development costs recorded in restructuring and other charges, amortization of purchase accounting fair value step-up for content, and amortization of capitalized interest for content as these items are excluded from the calculation of Adjusted EBITDA.

(b) Personnel expense is a component of costs of revenues and selling, general and administrative expense. Personnel expense includes marketing personnel compensation and excludes commissions (included in other segment expenses) and talent costs (included in content expense).

(c) Other segment expenses include distribution costs, other direct costs, software and hardware costs, IT services, professional and consulting fees, commissions, and certain other overhead costs. Other segment expenses exclude depreciation and amortization, amortization of purchase accounting fair value step-up for content, amortization of capitalized interest for content, employee share-based compensation, third-party transaction and integration costs, and other items impacting comparability as these items are excluded from the calculation of Adjusted EBITDA.

Schedule of Reconciliation of Segment Adjusted EBITDA to Loss Before Income Taxes

Reconciliation of segment adjusted EBITDA to loss before income taxes


	Three Months Ended March 31,
	2026		2025
Streaming	$	438	$	339
Studios	775		259
Global Linear Networks	1,634		1,793
Segment Adjusted EBITDA	2,847		2,391
Depreciation and amortization	1,226		1,547
Employee share-based compensation	150		120
Restructuring and other charges	204		54
Netflix Termination Fee (See Note 1)	2,800		—
Transaction and integration costs	173		80
Facility consolidation costs	—		5
Impairment and amortization of fair value step-up for content	102		240
Amortization of capitalized interest for content	3		6
Impairments and loss on dispositions	14		90

Corporate	269		233
Inter-segment eliminations	375		53
Other expense (income), net	38		(82)
Loss from equity investees, net	5		7
Loss on extinguishment of debt, net	27		4
Interest expense, net	581		468
Loss before income taxes	$	(3,120)	$	(434)