Netflix blames tax dispute in Brazil for rare quarterly earnings letdown​

Netflix missed the earnings target set by stock market analysts during the video streamer’s latest quarter, a letdown that the company blamed on a tax dispute in Brazil.
The results announced Tuesday broke Netflix’s six-quarter streak of posting a profit that eclipsed analysts’ projections.
The Los Gatos, California, cited an unexpected USD 619 million expense tied to the Brazilian tax dispute for the earnings shortfall while hailing its lineup of distinctive TV series and films for keeping its audience engaged and delivering a mix of subscriber fees and increased ad sales that helped it deliver revenue that matched analyst forecasts.
Investors, though, were not placated by the explanation as Netflix’s shares still fell by about 5 per cent in extended trading after the numbers came out.
Analysts varied in their interpretation of the third-quarter report.
Investing.com analyst Thomas Monteiro worries Netflix is using the Brazilian tax hit as a way to mask signs of a slowdown in …

​ 

Leave a Reply

Your email address will not be published. Required fields are marked *

0 Comments
scroll to top