NETFLIX INC
For the period ended Sep 30, 2026. Filed Oct 21, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2026 · Filed Oct 21, 2026
NFLX$63.41-3.3%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2026-06-30; filed 2026-07-17.
0001065280-26-000212
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-09-30; filed 2026-10-21.
0001065280-26-000291
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 78 previous paragraphs and 80 current paragraphs.
47 unchanged; 27 reworded; 6 added; 2 removed; 2 previous and 0 current paragraphs rearranged.
Tables are not compared: 25 previous and 25 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (6)
Current report
Revenues for the three months ended September 30, 2026 increased 12% as compared to the three months ended September 30, 2025, primarily due to the growth in subscription revenue of $1,057 million, which reflects increases in memberships and pricing, and an increase of $256 million in advertising revenue. The $1,364 million increase in revenues includes a favorable impact of $101 million from changes in foreign exchange rates, net of hedging.
Current report
Revenues for the nine months ended September 30, 2026 increased 14% as compared to the nine months ended September 30, 2025, primarily due to the growth in subscription revenue of $3,472 million, which reflects increases in memberships and pricing, and an increase of $864 million in advertising revenue. The $4,552 million increase in revenues includes a favorable impact of $508 million from changes in foreign exchange rates, net of hedging.
Current report
Revenues earned from other sources did not materially impact total revenues for the three and nine months ended September 30, 2026.
Current report
The decrease in cost of revenues was primarily due to a decrease in other cost of revenues, driven by lower non-income tax expenses as the prior year period includes a $619 million expense related to non-income tax assessments in Brazil. The decrease in other cost of revenues was partially offset by a $233 million increase in content amortization relating to our existing and new content. No individual component of the remaining change in cost of revenues was material.
Current report
General and administrative expenses for the three months ended September 30, 2026 as compared to the three months ended September 30, 2025 remained relatively flat.
Current report
Interest and other income (expense) increased in the three months ended September 30, 2026 primarily due to a $3 million increase in interest income earned in the three months ended September 30, 2026 as compared to the corresponding period in 2025.
Removed paragraphs (2)
Previous report
Revenues for the three and six months ended June 30, 2026 increased 13% and 15% as compared to the three and six months ended June 30, 2025, respectively, primarily due to the growth in memberships, price increases, and increased advertising revenue. Additionally, revenues for the three and six months ended June 30, 2026 as compared to the same periods in 2025, were impacted by favorable changes in foreign exchange rates, net of hedging.
Previous report
Interest and other income (expense) increased in the three months ended June 30, 2026 primarily due to foreign exchange losses of $17 million, net of the impacts of derivatives and hedging, compared to losses of $36 million for the corresponding period in 2025. In the three months ended June 30, 2026, the foreign exchange losses were primarily driven by the remeasurement of cash and content liability positions in currencies other than the functional currencies, partially offset by the non-cash gain of $9 million from the remeasurement of our Senior Notes denominated in Euros, net of hedging impacts. In the three months ended June 30, 2025, the foreign exchange losses were primarily driven by the non-cash loss of $55 million from the remeasurement of our Senior Notes denominated in Euros, net of hedging impacts, partially offset by the remeasurement of cash and content liability positions in currencies other than the functional currencies.
Reworded paragraphs (27)
Previous wording
This Quarterly Report on Form 10-Q contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements include, but are not limited to, statements regarding: our core strategy; our ability to improve our content offerings and service; our future financial performance, including expectations regarding revenues, deferred revenue, operating income and margin, net income, expenses, and profitability; liquidity, including the sufficiency of our capital resources, net cash provided by (used in) operating activities, access to financing sources and free cash flows; capital allocation strategies, including any stock repurchases or repurchase programs; stock price volatility; impact of foreign exchange rate fluctuations, including on net income and revenues; expectations regarding hedging activity; impact of interest rate fluctuations; adequacy of existing facilities; future regulatory changes and their impact on our business; intellectual property; cybersecurity; price changes and testing; accounting treatment for changes related to content assets; acquisitions; actions by competitors; partnerships; advertising; multi-household usage; member viewing patterns; dividends; future contractual obligations, including unknown content obligations and timing of payments; our global content and marketing investments, including investments in original programming, consumer products and experiences; impact of work stoppages; content amortization; resolution of tax examinations; tax expense; unrecognized tax benefits; deferred tax assets; resolution of disputes and other proceedings; our ability to effectively manage change and growth; our company culture; and our ability to attract and retain qualified employees and key personnel. These forward-looking statements are subject to risks and uncertainties that could cause actual results and events to differ materially from those included in forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, those discussed in our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the Securities and Exchange Commission (“SEC”) on January 23, 2026, in particular the risk factors discussed under the heading “Risk Factors” in Part I, Item 1A.
Current wording
This Quarterly Report on Form 10-Q contains forward-looking statements within the meaning of the federal securities laws. These forward-looking statements include, but are not limited to, statements regarding: our core strategy; our ability to improve our content offerings and service; our future financial performance, including expectations regarding revenues, deferred revenue, operating income and margin, net income, expenses, profitability, and memberships; liquidity, including the sufficiency of our capital resources, net cash provided by (used in) operating activities, access to financing sources and free cash flows; capital allocation strategies, including any stock repurchases or repurchase programs; stock price volatility; impact of foreign exchange rate fluctuations, including on net income and revenues; expectations regarding hedging activity; impact of interest rate fluctuations; adequacy of existing facilities; future regulatory changes and their impact on our business; intellectual property; cybersecurity; price changes and testing; accounting treatment for changes related to content assets; acquisitions; actions by competitors; partnerships; advertising; member viewing patterns; dividends; future contractual obligations, including unknown content obligations and timing of payments; our global content and marketing investments, including investments in original programming, consumer products and experiences; impact of work stoppages; content amortization; resolution of tax examinations; tax expense; unrecognized tax benefits; deferred tax assets; resolution of disputes and other proceedings; our ability to effectively manage change and growth; our company culture; and our ability to attract and retain qualified employees and key personnel. These forward-looking statements are subject to risks and uncertainties that could cause actual results and events to differ materially from those included in forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, those discussed in our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the Securities and Exchange Commission (“SEC”) on January 23, 2026, in particular the risk factors discussed under the heading “Risk Factors” in Part I, Item 1A.
Previous wording
Our core strategy is to grow our business globally within the parameters of our operating margin target. We strive to continuously improve our members’ experience by offering compelling content that delights them and attracts new members. We aim to offer a range of pricing plans, including our ad-supported subscription plan, to meet a variety of consumer needs. We seek to drive conversation around our content to further enhance member joy, and we are continuously enhancing our user interface to help our members more easily choose content that they will find enjoyable.
Current wording
Our core strategy is to grow our business globally within the parameters of our operating margin target. We strive to continuously improve our members’ experience by offering compelling content that delights them and attracts new members. We aim to offer a range of streaming plans, including our ad-supported subscription, to meet a variety of consumer needs. We seek to drive conversation around our content to further enhance member joy, and we are continuously enhancing our user interface to help our members more easily choose content that they will find enjoyable.
Previous wording
Operating margin for the three months ended June 30, 2026 decreased by approximately one percentage point as compared to the prior comparative period. The decrease in operating margin was primarily driven by technology and development expenses and sales and marketing expenses growing at a faster rate than revenue.
Current wording
Operating margin for the three months ended September 30, 2026 increased by over six percentage points as compared to the prior comparative period. The increase in operating margin was driven by a decrease in cost of revenues and revenue growth outpacing the growth in sales and marketing and general and administrative expenses, partially offset by technology and development expenses growing at a faster rate than revenues.
Previous wording
Net income for the three months ended June 30, 2026 increased $276 million as compared to the prior comparative period, primarily due to a $418 million increase in operating income, driven by a $1,481 million increase in revenues and partially offset by a $712 million increase in cost of revenues primarily due to an increase in content amortization. The impact of higher operating income was partially offset by a $161 million increase in the provision for income taxes.
Current wording
Net income for the three months ended September 30, 2026 increased by $1,117 million as compared to the prior comparative period, primarily due to a $1,210 million increase in operating income, driven by a $1,364 million increase in revenues and an $85 million decrease in cost of revenues. The impact of higher operating income was partially offset by a $90 million increase in the provision for income taxes.
Previous wording
We primarily derive revenues from monthly membership fees for services related to streaming content to our members. We offer a variety of streaming membership plans, the price of which varies by country and the features of the plan. As of June 30, 2026, pricing on our plans ranged from the U.S. dollar equivalent of $1 to $38 per month, and pricing on our extra member sub accounts ranged from the U.S. dollar equivalent of $2 to $10 per month. We expect that from time to time the prices of our membership plans in each country may change and we may test other plan and price variations.
Current wording
We primarily derive revenues from monthly subscription fees for services related to streaming content to our members. We offer a variety of streaming plans, including our ad-supported subscription, with multiple pricing tiers that vary by country and the features of the plan. As of September 30, 2026, pricing on our streaming plans ranged from the U.S. dollar equivalent of $1 to $37 per month, and pricing on our extra member accounts ranged from the U.S. dollar equivalent of $2 to $10 per month. We expect that from time to time the prices of our streaming plans in each country may change and we may test other plan and price variations. The prices of our streaming plans, and periodic changes to these prices, may impact growth in memberships and the plans that both new and existing members choose, including the number of members that select our ad-supported subscription.
Previous wording
We also earn revenues from advertisements presented on our streaming service, consumer products and experiences, and various other sources. Revenues earned from sources other than monthly membership fees were not a material component of revenues for the three and six months ended June 30, 2026 and June 30, 2025.
Current wording
We also earn revenues from advertisements presented on our streaming service, consumer products and experiences, and various other sources.
Previous wording
The following tables summarize revenues by region for the three and six months ended June 30, 2026 and 2025. Total revenues are inclusive of hedging gains (losses) of $(48) million and $(180) million for the three and six months ended June 30, 2026, respectively, and $(37) million and $127 million for the three and six months ended June 30, 2025, respectively. See Note 8 Derivative Financial Instruments and Hedging Activities to the consolidated financial statements for further information regarding the Company’s derivative and non-derivative financial instruments.
Current wording
The following tables summarize revenues by region for the three and nine months ended September 30, 2026 and 2025. Total revenues are inclusive of hedging losses of $(1) million and $(181) million for the three and nine months ended September 30, 2026, respectively, and $(129) million and $(2) million for the three and nine months ended September 30, 2025, respectively. See Note 8 Derivative Financial Instruments and Hedging Activities to the consolidated financial statements for further information regarding the Company’s derivative and non-derivative financial instruments.
Previous wording
The tables below summarize constant currency revenues by region for the three and six months ended June 30, 2026 and the constant currency percentage change in revenues by region for the three and six months ended June 30, 2026 as compared to the three and six months ended June 30, 2025:
Current wording
The tables below summarize constant currency revenues by region for the three and nine months ended September 30, 2026 and the constant currency percentage change in revenues by region for the three and nine months ended September 30, 2026 as compared to the three and nine months ended September 30, 2025:
Previous wording
The increase in cost of revenues was primarily due to a $479 million increase in content amortization relating to our existing and new content. No individual component of the remaining increase in cost of revenues was material.
Current wording
The increase in cost of revenues was primarily due to a $1,107 million increase in content amortization relating to our existing and new content. No individual component of the remaining increase in cost of revenues was material.
Previous wording
The increase in sales and marketing expenses was primarily driven by a $184 million increase in marketing expenses, coupled with a $95 million increase in personnel-related costs, primarily due to the growth in advertising sales headcount.
Current wording
The increase in sales and marketing expenses was primarily driven by a $42 million increase in personnel-related costs, primarily due to the growth in advertising sales headcount.
Previous wording
The increase in sales and marketing expenses was primarily driven by a $71 million increase in marketing expenses, coupled with a $47 million increase in personnel-related costs, primarily due to the growth in advertising sales headcount.
Current wording
The increase in sales and marketing expenses was primarily driven by a $196 million increase in marketing expenses, coupled with a $137 million increase in personnel-related costs, primarily due to the growth in advertising sales headcount.
Previous wording
The increase in technology and development expenses was primarily due to a $142 million increase in personnel-related costs.
Current wording
The increase in technology and development expenses was primarily due to a $136 million increase in personnel-related costs.
Previous wording
The increase in technology and development expenses was primarily due to a $247 million increase in personnel-related costs.
Current wording
The increase in technology and development expenses was primarily due to a $383 million increase in personnel-related costs.
Previous wording
The increase in general and administrative expenses was primarily due to a $105 million increase in personnel-related costs and a $107 million increase in third-party expenses, driven by higher legal fees and transaction-related costs, including those associated with the WBD transaction.
Current wording
The increase in general and administrative expenses was primarily due to a $126 million increase in personnel-related costs and a $91 million increase in third-party expenses, driven by higher legal fees and transaction-related costs, including those associated with the WBD transaction.
Previous wording
Interest expense, net of hedging impacts, primarily consisted of interest on our Notes of $175 million and $351 million for the three and six months ended June 30, 2026, respectively. The decrease in interest expense for the three months ended June 30, 2026 as compared to the three months ended June 30, 2025 was due to the lower average aggregate principal of our Notes outstanding. The increase in interest expense for the six months ended June 30, 2026 as compared to the six months ended June 30, 2025 was primarily driven by higher amortization of debt issuance costs, including approximately $85 million recognized in connection with the termination of financing arrangements associated with the WBD transaction in the first quarter of 2026. See Note 7 Debt for additional details regarding the termination of financing arrangements associated with the WBD transaction.
Current wording
Interest expense, net of hedging impacts, primarily consisted of interest on our Notes of $184 million and $535 million for the three and nine months ended September 30, 2026, respectively. The increase in interest expense for the three months ended September 30, 2026 as compared to the three months ended September 30, 2025 was due to the increase in debt. The increase in interest expense for the nine months ended September 30, 2026 as compared to the nine months ended September 30, 2025 was primarily driven by higher amortization of debt issuance costs, including approximately $85 million recognized in connection with the termination of financing arrangements associated with the WBD transaction in the first quarter of 2026. See Note 7 Debt for additional details regarding the termination of financing arrangements associated with the WBD transaction.
Previous wording
Interest and other income (expense) increased in the six months ended June 30, 2026, primarily due to a $2.8 billion termination fee received in connection with the termination of the WBD transaction in the first quarter of 2026. See Note 6 Acquisitions for further information.
Current wording
Interest and other income (expense) increased in the nine months ended September 30, 2026, primarily due to a $2.8 billion termination fee received in connection with the termination of the WBD transaction in the first quarter of 2026. See Note 6 Acquisitions for further information.
Previous wording
The increase in the effective tax rates for the three and six months ended June 30, 2026, as compared to the same periods in 2025, was primarily due to a decrease in tax benefits associated with lower excess tax benefits on stock-based compensation. The increase in the effective tax rate for the six months ended June 30, 2026, as compared to the same period in 2025, was also impacted by lower foreign-derived income deduction relative to the growth in income before income taxes.
Current wording
The decrease in the effective tax rate for the three months ended September 30, 2026, as compared to the same period in 2025, was primarily due to an increase in U.S. federal research and development tax credit benefits. The increase in the effective tax rate for the nine months ended September 30, 2026, as compared to the same period in 2025, was primarily due to a decrease in tax benefits associated with lower excess tax benefits on stock-based compensation as well as lower foreign-derived income deduction relative to the growth in income before income taxes.
Previous wording
Cash, cash equivalents, restricted cash and short-term investments increased $64 million in the six months ended June 30, 2026, primarily due to cash provided by operations, which includes the receipt of a $2.8 billion termination fee in connection with the termination of the WBD transaction in the first quarter of 2026, partially offset by repurchases of stock and cash paid for acquisitions. See Note 6 Acquisitions for further information.
Current wording
Cash, cash equivalents, restricted cash and short-term investments decreased $841 million in the nine months ended September 30, 2026, primarily due to the repurchases of stock, purchases of property and equipment and cash paid for acquisitions, partially offset by cash provided by operations and proceeds from the issuance of debt. Cash provided by operations in the nine months ended September 30, 2026 includes the receipt of a $2.8 billion termination fee in connection with the termination of the WBD transaction in the first quarter of 2026. See Note 6 Acquisitions for further information.
Previous wording
Debt, net of debt issuance costs and discounts, decreased $154 million primarily due to the remeasurement of our Euro-denominated notes in the six months ended June 30, 2026. The amount of principal and interest on our outstanding notes due in the next twelve months is $3,149 million. See Note 7 Debt in the accompanying notes to our consolidated financial statements.
Current wording
Debt, net of debt issuance costs, discounts and hedging impacts, increased $670 million primarily due to the issuance of debt, partially offset by the remeasurement of our Euro-denominated notes in the nine months ended September 30, 2026 and fair value hedging adjustments. The amount of principal and interest on our outstanding notes due in the next twelve months is $3,194 million. See Note 7 Debt in the accompanying notes to our consolidated financial statements.
Previous wording
In March 2021, the Company’s Board of Directors authorized a share repurchase program for the Company’s common stock with no expiration date. The Board subsequently approved additional repurchase authorizations in September 2023 and December 2024, and most recently in April 2026, authorized the repurchase of an additional $25 billion of the Company’s common stock. Stock repurchases may be effected through open market repurchases in compliance with Rule 10b-18 under the Exchange Act, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Exchange Act, privately-negotiated transactions, accelerated stock repurchase plans, block purchases, or other similar purchase techniques and in such amounts as management deems appropriate. We are not obligated to repurchase any specific number of shares, and the timing and actual number of shares repurchased will depend on a variety of factors, including our stock price, general economic, business and market conditions, and alternative investment opportunities. We may discontinue any repurchases of our common stock at any time without prior notice. During the six months ended June 30, 2026, the Company repurchased 66,431,786 shares of common stock for an aggregate amount of $5.9 billion (excluding the 1% excise tax on stock repurchases as a result of the Inflation Reduction Act of 2022). As of June 30, 2026, $27.1 billion remains available for repurchases.
Current wording
In March 2021, the Company’s Board of Directors authorized a share repurchase program for the Company’s common stock with no expiration date. The Board subsequently approved additional repurchase authorizations in September 2023 and December 2024, and most recently in April 2026, authorized the repurchase of an additional $25 billion of the Company’s common stock. Stock repurchases may be effected through open market repurchases in compliance with Rule 10b-18 under the Exchange Act, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Exchange Act, privately-negotiated transactions, accelerated stock repurchase plans, block purchases, or other similar purchase techniques and in such amounts as management deems appropriate. We are not obligated to repurchase any specific number of shares, and the timing and actual number of shares repurchased will depend on a variety of factors, including our stock price, general economic, business and market conditions, and alternative investment opportunities. We may discontinue any repurchases of our common stock at any time without prior notice. During the nine months ended September 30, 2026, the Company repurchased 130,349,765 shares of common stock for an aggregate amount of $10.7 billion (excluding the 1% excise tax on stock repurchases as a result of the Inflation Reduction Act of 2022). As of September 30, 2026, $22.3 billion remains available for repurchases.
Previous wording
(1)As of June 30, 2026, content obligations were comprised of $3.9 billion included in “Current content liabilities” and $1.6 billion of “Non-current content liabilities” on the Consolidated Balance Sheets and $19.6 billion of obligations that are not reflected on the Consolidated Balance Sheets as they did not then meet the criteria for recognition.
Current wording
(1)As of September 30, 2026, content obligations were comprised of $3.9 billion included in “Current content liabilities” and $1.7 billion of “Non-current content liabilities” on the Consolidated Balance Sheets and $19.6 billion of obligations that are not reflected on the Consolidated Balance Sheets as they did not then meet the criteria for recognition.
Previous wording
Net cash provided by operating activities for the three months ended June 30, 2026 decreased $679 million as compared to the corresponding period in 2025, primarily driven by a $1,059 million increase in payments for content assets and $620 million in unfavorable changes in working capital, partially offset by a $724 million increase in adjustments for non-cash expenses and a $276 million increase in net income.
Current wording
Net cash provided by operating activities for the three months ended September 30, 2026 increased $337 million as compared to the corresponding period in 2025, primarily driven by a $1,117 million increase in net income and a $437 million increase in adjustments for non-cash expenses, partially offset by $780 million in unfavorable changes in working capital and a $437 million increase in payments for content assets.
Previous wording
Net cash used in investing activities for the three months ended June 30, 2026 increased $987 million as compared to the corresponding period in 2025, primarily due to the absence of cash flows related to investments in the three months ended June 30, 2026 as compared to $961 million in net cash inflows from maturities, sales and purchases of investments in the prior comparative period. In addition, purchases of property and equipment increased $63 million in the three months ended June 30, 2026 as compared to the three months ended June 30, 2025.
Current wording
Net cash used in investing activities for the three months ended September 30, 2026 increased $375 million as compared to the corresponding period in 2025, primarily due to a net decrease of $225 million in cash flows from maturities, sales and purchases of investments. In addition, purchases of property and equipment increased $114 million in the three months ended September 30, 2026 as compared to the three months ended September 30, 2025.
Previous wording
Net cash used in financing activities for the three months ended June 30, 2026 increased $2,167 million as compared to the corresponding period in 2025, primarily driven by a $3,060 million increase in repurchases of common stock, partially offset by no repayments of debt in the three months ended June 30, 2026, as compared to $1,033 million in repayments of debt in the corresponding period in 2025.
Current wording
Net cash used in financing activities for the three months ended September 30, 2026 increased $2,018 million as compared to the corresponding period in 2025, primarily due to a $2,940 million increase in repurchases of common stock, partially offset by $993 million of proceeds from the issuance of debt in the current period.
Previous wording
Net cash provided by operating activities for the six months ended June 30, 2026 increased $1,822 million as compared to the corresponding period in 2025, primarily driven by a $2,668 million increase in net income which was largely attributable to an increase in interest and other income (expense) due to a $2.8 billion termination fee received in connection with the termination of the WBD transaction in the first quarter of 2026, a $1,474 million increase in adjustments for non-cash expenses, partially offset by a $1,900 million increase in payments for content assets and $420 million in unfavorable changes in working capital. Changes in working capital includes $729 million of non-routine payments made in connection with non-income tax assessments in Brazil for prior tax periods.
Current wording
Net cash provided by operating activities for the nine months ended September 30, 2026 increased $2,159 million as compared to the corresponding period in 2025, primarily driven by a $3,785 million increase in net income which includes a $2.8 billion termination fee received in connection with the termination of the WBD transaction in the first quarter of 2026 recorded in “Interest and other income (expense),” and a $1,910 million increase in adjustments for non-cash expenses, partially offset by a $2,337 million increase in payments for content assets and $1,200 million in unfavorable changes in working capital. Changes in working capital includes $729 million of non-routine payments made in connection with non-income tax assessments in Brazil for prior tax periods.
Previous wording
Net cash used in investing activities for the six months ended June 30, 2026 increased $2,255 million as compared to the corresponding period in 2025, primarily due to the absence of cash flows related to investments in the six months ended June 30, 2026 as compared to $1,575 million in net cash inflows from maturities, sales and purchases of investments in the prior comparative period, coupled with net cash outflows for acquisitions for an aggregate amount of $586 million in the six months ended June 30, 2026, as compared to no acquisition-related cash flows in the corresponding period in 2025. In addition, purchases of property and equipment increased $131 million in the six months ended June 30, 2026 as compared to the six months ended June 30, 2025.
Current wording
Net cash used in investing activities for the nine months ended September 30, 2026 increased $2,630 million as compared to the corresponding period in 2025, primarily driven by a net decrease of $1,800 million in cash flows from maturities, sales and purchases of investments, coupled with net cash outflows for acquisitions for an aggregate amount of $586 million in the nine months ended September 30, 2026, as compared to no acquisition-related cash flows in the corresponding period in 2025. In addition, purchases of property and equipment increased $245 million in the nine months ended September 30, 2026 as compared to the nine months ended September 30, 2025.
Previous wording
Net cash used in financing activities for the six months ended June 30, 2026 decreased $631 million as compared to the corresponding period in 2025, primarily driven by no repayments of debt in the six months ended June 30, 2026, as compared to $1,833 million in repayments of debt in the corresponding period in 2025, partially offset by a $794 million increase in repurchases of common stock. In addition, proceeds from the issuance of common stock decreased $411 million in the six months ended June 30, 2026 as compared to the six months ended June 30, 2025.
Current wording
Net cash used in financing activities for the nine months ended September 30, 2026 increased $1,387 million as compared to the corresponding period in 2025, primarily driven by a $3,734 million increase in repurchases of common stock, partially offset by no repayments of debt in the nine months ended September 30, 2026, as compared to $1,833 million in repayments of debt in the corresponding period in 2025, as well as proceeds from the issuance of debt of $993 million in the nine months ended September 30, 2026. In addition, proceeds from the issuance of common stock decreased $407 million in the nine months ended September 30, 2026 as compared to the nine months ended September 30, 2025.
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
The increase in cost of revenues was primarily due to an $874 million increase in content amortization relating to our existing and new content. No individual component of the remaining increase in cost of revenues was material.
Previous report — wording carried elsewhere
The increase in general and administrative expenses was primarily due to a $26 million increase in personnel-related costs and a $19 million increase in third-party expenses.