NFLX Netflix margins

Relative Growth: Rel. Growth: 96

Relative Strength: Rel. Strength: 28

Relative Valuation: Rel. Valuation: 71

Relative Profitability: Rel. Profitability: 95

Gross margin

50.7%

Operating margin

31.3%

EBITDA margin

73.3%

Net margin

29.7%

Using the latest TTM figures, Netflix shows a gross margin of 50.7%, an operating margin of 31.3%, an EBITDA margin of 73.3%, and a net margin of 29.7%. The company's available margins all increased, with EBITDA margin recording the strongest expansion of 6.5 percentage points.

NFLX margin history

Gross, operating, EBITDA and net margin trends

Looking back over the last 3 years, Netflix recorded average margins of 46.72% gross, 27.14% operating, 68.02% EBITDA, and 23.28% net. Compared with their three-year averages, all four current margins are higher.

NFLX margin expansion

Year-over-year margin changes in percentage points

The biggest expansion was in EBITDA margin, which rose by 6.5 percentage points. The other available margins also improved.

Gross margin expansion

2.6pp

Operating margin expansion

2.2pp

EBITDA margin expansion

6.5pp

Net margin expansion

5.7pp

NFLX Gross margin

The average gross margin for Netflix was 46.72% in the last 3 years. The current gross margin of 50.7% is 4 percentage points above its three-year average. The gross margin for Netflix moved between 41.5% in Dec 2023 and 50.7% in Sep 2026.

NFLX Operating margin

Over the last 3 years, Netflix recorded an average operating margin of 27.14%. Right now, Netflix's current operating margin is 31.3%, which is 4.2 percentage points above its three-year average. The highest operating margin for Netflix was 31.3% in Sep 2026, while the lowest was 20.6% in Dec 2023.

NFLX EBITDA margin

Netflix's EBITDA margin averaged 68.02% in the last 3 years. Compared with its three-year average, Netflix's current EBITDA margin is 73.3% and is 5.3 percentage points above its three-year average. Over the last 3 years, Netflix's EBITDA margin peaked at 73.3% in Sep 2026 and reached a low of 63.6% in Dec 2023.

NFLX Net margin

Netflix's net margin averaged 23.28% across the past 3 years. Compared with its three-year average, Netflix's current net margin is 29.7% and is 6.4 percentage points above its three-year average. Over the last 3 years, Netflix's net margin peaked at 29.7% in Sep 2026 and reached a low of 16% in Dec 2023.

NFLX margin group comparison

Margins compared with peer-group, industry and sector averages

With a gross margin of 50.7%, NFLX is above the Communication Services sector, the industry and its peers average. But compared to its Communication Services sector average of 49.6%, Netflix's gross margin is only 2.2% higher.

NFLX margin peer comparison

Compare margins with selected peers

Frequently asked questions

What is Netflix's gross margin?

For the period ending Sep 30, 2026, NFLX recorded a gross margin of 50.7%.

What is Netflix's operating margin?

As of Sep 30, 2026, NFLX has an operating margin of 31.3%.

What is Netflix's EBITDA margin?

As of Sep 30, 2026, NFLX has an EBITDA margin of 73.3%.

What is Netflix's net margin?

As of Sep 30, 2026, NFLX has a net margin of 29.7%.

What are the average margins of NFLX?

Over the past 3 years, NFLX reported average margins of 46.7% gross, 27.1% operating, 68.0% EBITDA, and 23.3% net.

What are the highest historical margins of NFLX?

Across the 5-year period, NFLX posted its highest margins at 50.7% gross in Sep 2026, 31.3% operating in Sep 2026, 73.3% EBITDA in Sep 2026, and 29.7% net in Sep 2026.

What are the lowest historical margins of NFLX?

Over the last 5 years, Netflix's lowest margins were 38.3% gross in Mar 2023, 16.8% operating in Mar 2023, 62.7% EBITDA in Sep 2023, and 13.2% net in Mar 2023.