Netflix (NFLX) FY2018 results: revenue $15.8 billion, up 35.1% on the year
Netflix Inc. (NFLX) reported revenue of $15.8 billion for fiscal 2018, the year ended 31 December 2018, up 35.1% on the year before. Net income was $1.2 billion, up 116.7%, and diluted earnings per share $0.27. The figures are the company's own, from the 10-K it filed with the SEC on 29 January 2019.
Revenue
$15.8 billion
+35.1% on the year
FY2011FY2018
Operating margin
10.2%
7.2% a year earlier
FY2011FY2018
Net income
$1.2 billion
+116.7% on the year
FY2011FY2018
Diluted EPS
$0.27
+114.4% on the year
FY2011FY2018
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Revenue
15,794
11,693
8,831
+35.1%
Cost of revenue
9,968
8,033
6,257
+24.1%
Gross profit
5,827
3,660
2,573
+59.2%
Gross margin
36.9%
31.3%
29.1%
Research and development
1,218
981
768
+24.1%
Operating income
1,605
839
380
+91.4%
Operating margin
10.2%
7.2%
4.3%
Interest expense
420
238
150
+76.5%
Pre-tax income
1,226
485
261
+152.7%
Income tax
15.2
-73.6
73.8
Effective tax rate
1.2%
-15.2%
28.3%
Net income
1,211
559
187
+116.7%
Net margin
7.7%
4.8%
2.1%
Diluted EPS
$0.27
$0.12
$0.04
+114.4%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Operating cash flow
-2,680
-1,786
-1,474
Capital expenditure
174
173
108
+0.4%
Free cash flow
-2,854
-1,959
-1,582
Free cash flow margin
-18.1%
-16.8%
-17.9%
Cash from investing
-339
34.3
49.8
Cash from financing
4,049
3,077
1,092
+31.6%
Depreciation and amortisation
83.2
71.9
57.5
+15.6%
Share-based compensation
321
182
174
+76.0%
Diluted shares, weighted
4,512m
4,468m
4,387m
+1.0%
Shares outstanding at period end
4,366m
4,334m
4,301m
+0.7%
Balance sheet
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Shareholders' equity
5,239
3,582
2,680
+46.3%
Debt
14,873
9,049
3,364
+64.4%
Other liabilities
5,862
6,382
7,542
-8.1%
Total liabilities and equity
25,974
19,013
13,587
+36.6%
Fixed assets
418
319
250
+31.0%
Investments
n/a
0.0
266
Cash and equivalents
3,794
2,823
1,468
+34.4%
Other assets
21,762
15,871
11,602
+37.1%
Total assets
25,974
19,013
13,587
+36.6%
10-K for the year ended 31 December 2018, filed 29 January 2019: the filing.