Overview
- Netflix, which reported first‑quarter results Thursday, said co‑founder Reed Hastings will leave the board in June to focus on philanthropy.
- Revenue reached $12.25 billion and earnings were $1.23 per share, with a $2.8 billion termination fee from the abandoned Warner Bros. Discovery deal lifting profit and cash generation.
- Following Thursday's update, the stock fell about 9% after second‑quarter revenue guidance of $12.57 billion trailed some analyst estimates even as the company kept its full‑year goals.
- Co‑CEOs Ted Sarandos and Greg Peters praised Hastings and said the departure reflects planned succession rather than any dispute, emphasizing leadership continuity.
- Management raised its 2026 free‑cash‑flow forecast to $12.5 billion, said advertising could reach about $3 billion in 2026, and pointed to growth bets in live events, video podcasts, games, and AI tools like the InterPositive acquisition.