Tax Expense Impact on Earnings

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Inside The Surprise Brazilian Tax That Rattled Netflix Earnings
Deadline· 2025-10-22 09:07
An unexpected and painful $619 million tax expense from Brazil knocked the operating margin for Netflix‘ September quarter, defying Wall Street’s upbeat guidance and hitting the stock, which fell more than 6%. It was unusual. Asked on the streamer’s post-earnings Q&A webcast to please provide more color on what happened, CFO Spencer Neumann stressed “two really important takeaways that I want to leave you with. The first is that … no other tax looks or behaves like this in any other major country in which ...