REPORTABLE SEGMENTS (Tables)

6 Months Ended

Jun. 30, 2026

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

Revenues


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Streaming	$	3,079	$	2,793	$	5,966	$	5,449
Studios	2,328		3,801		5,453		6,115
Global Linear Networks	3,991		4,803		8,368		9,577
Corporate	1		1		2		1
Inter-segment eliminations	(682)		(1,586)		(2,179)		(2,351)
Total revenues	$	8,717	$	9,812	$	17,610	$	18,791

Reconciliation of Revenues to Segment Adjusted EBITDA


	Three months ended June 30, 2026
	Streaming		Studios		Global Linear Networks
Revenues	$	3,079	$	2,328	$	3,991






Less:
Content expense (a)	1,569		1,442		1,400
Personnel expense (b)	187		235		509
Marketing expense	344		307		137
Other segment expenses (c)	467		248		499
Segment Adjusted EBITDA	$	512	$	96	$	1,446


	Three months ended June 30, 2025
	Streaming		Studios		Global Linear Networks
Revenues	$	2,793	$	3,801	$	4,803






Less:
Content expense (a)	1,600		2,135		2,105
Personnel expense (b)	191		232		505
Marketing expense	294		363		115
Other segment expenses (c)	415		208		566
Segment Adjusted EBITDA	$	293	$	863	$	1,512


	Six months ended June 30, 2026
	Streaming		Studios		Global Linear Networks
Revenues	$	5,966	$	5,453	$	8,368






Less:
Content expense (a)	3,100		3,045		2,992
Personnel expense (b)	373		486		1,038
Marketing expense	629		582		266
Other segment expenses (c)	914		469		992
Segment Adjusted EBITDA	$	950	$	871	$	3,080


	Six months ended June 30, 2025
	Streaming		Studios		Global Linear Networks
Revenues	$	5,449	$	6,115	$	9,577






Less:
Content expense (a)	3,104		3,474		3,937
Personnel expense (b)	377		462		1,001
Marketing expense	514		615		219
Other segment expenses (c)	822		442		1,115
Segment Adjusted EBITDA	$	632	$	1,122	$	3,305

(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 June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Streaming	$	512	$	293	$	950	$	632
Studios	96		863		871		1,122
Global Linear Networks	1,446		1,512		3,080		3,305
Segment Adjusted EBITDA	2,054		2,668		4,901		5,059
Depreciation and amortization	1,159		1,447		2,385		2,994
Employee share-based compensation	187		173		337		293
Restructuring and other charges	113		80		317		134
Netflix Termination Fee (See Note 1)	—		—		2,800		—
Transaction and integration costs	72		17		245		97
Facility consolidation costs	—		4		—		9
Impairment and amortization of fair value step-up for content	77		388		179		628
Amortization of capitalized interest for content	11		3		14		9
Impairments and loss on dispositions	23		26		37		116

Corporate	298		316		567		549
Inter-segment eliminations	(123)		399		252		452
Other income, net	(50)		(139)		(12)		(221)
(Income) loss from equity investees, net	(28)		(5)		(23)		2
Loss (gain) on extinguishment of debt, net	75		(2,958)		102		(2,954)
Interest expense, net	511		463		1,092		931
(Loss) income before income taxes	$	(271)	$	2,454	$	(3,391)	$	2,020