Netflix (NFLX) earnings Q3 2023

Thomas Trutschel | Photothek | Getty Images

LOS ANGELES — Netflix is due to report third-quarter earnings after the closing bell Wednesday.

The streaming company is still navigating its transformation from focusing on subscriber growth to focusing on profit, using price hikes, password crackdowns and ad-supported tiers to boost revenue.

Further complicating matters are production delays resulting from a nearly 150-day writers strike that wrapped up in September and an ongoing actors strike that threatens to prevent and postpone production through the new year.

Investors will be looking to hear from the company’s executives about how Netflix will grapple with these headwinds and for a status report on its ad tier.

Here’s what Wall Street expects: 

  • Earnings: $3.49 per share, according to LSEG, formerly known as Refinitiv
  • Revenue: $8.54 billion, according to LSEG
  • Total memberships: 243.88 million, according to Street Account

Netflix in the last week has seen a series of slashed price targets and revised forecasts from Wall Street analysts, most of whom are awaiting further clarity on the company’s growth strategy.

Company executives previously warned investors that its ad tier is still in its infancy and shareholders shouldn’t expect it to have a major impact on revenue until at least the end of the year.

Additionally, they have signaled that operating margins will grow more gradually going forward as it invests in more growth opportunities.

It’s been less than six months since Netflix instituted its password crackdown, so it’s unclear what impact that initiative has had for the company and how much executives will share.

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