Netflix Earnings Hurt by Tax Dispute Expense

5 days ago

Lucas Shaw / Reporter

"Our own Lucas Shaw out with his first take on earnings. Uh writing that a tax dispute with Brazil cut into third quarter earnings at Mars results that otherwise fell in line with Wall Street estimates. Uh Netflix had to pay about $619 million to settle a multi-year tax dispute with Brazilian authorities going back to 2022, but the company said it would have beaten forecasts if not for that expense. Shares down just about 5.75%."

The segment highlights that Netflix incurred a significant tax expense of approximately $619 million due to a multi-year dispute with Brazilian authorities, which negatively impacted its quarterly earnings. The commentary notes that without this expense, Netflix might have outperformed forecasts, as evidenced by its roughly 5.75% share decline in after-hours trading.

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