Stock Analysis on Net
Stock Analysis on Net

Netflix Inc. (NASDAQ:NFLX)

Cash Flow Statement
Quarterly Data

Beginner level

The cash flow statement provides information about a company’s cash receipts and cash payments during an accounting period, showing how these cash flows link the ending cash balance to the beginning balance shown on the company’s balance sheet.

The cash flow statement consists of three parts: cash flows provided by (used in) operating activities, cash flows provided by (used in) investing activities, and cash flows provided by (used in) financing activities.

Netflix Inc., consolidated cash flow statement (quarterly data)

US$ in thousands

Microsoft Excel LibreOffice Calc
3 months ended: Jun 30, 2020 Mar 31, 2020 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019 Dec 31, 2018 Sep 30, 2018 Jun 30, 2018 Mar 31, 2018 Dec 31, 2017 Sep 30, 2017 Jun 30, 2017 Mar 31, 2017 Dec 31, 2016 Sep 30, 2016 Jun 30, 2016 Mar 31, 2016 Dec 31, 2015 Sep 30, 2015 Jun 30, 2015 Mar 31, 2015
Net income 720,196  709,067  586,970  665,244  270,650  344,052  133,934  402,835  384,349  290,124  185,517  129,590  65,600  178,222  66,748  51,517  40,755  27,658  43,178  29,432  26,335  23,696 
Additions to content assets (2,510,782) (3,294,275) (3,945,542) (3,648,292) (3,325,103) (2,997,746) (3,784,252) (3,238,717) (3,033,721) (2,986,747) (2,477,659) (2,315,017) (2,664,421) (2,348,666) (2,102,841) (2,442,080) (1,791,766) (2,316,599) (1,577,107) (1,308,943) (1,273,677) (1,611,925)
Change in content liabilities (108,432) 258,945  (571,351) (95,548) (12,414) (14,698) 266,653  65,868  288,474  378,885  53,446  (34,587) 514,890  366,257  98,525  529,885  238,517  905,723  240,250  104,684  191,154  626,325 
Amortization of content assets 2,607,159  2,483,385  2,579,669  2,279,977  2,231,915  2,124,686  2,053,660  1,911,767  1,817,817  1,748,844  1,713,863  1,627,477  1,550,794  1,305,683  1,330,508  1,224,108  1,175,361  1,058,521  961,861  871,403  822,600  749,518 
Depreciation and amortization of property, equipment and intangibles 26,661  28,517  27,818  26,704  25,496  23,561  23,219  21,161  19,736  19,041  19,073  19,238  18,551  15,049  14,189  14,410  14,131  14,798  15,488  16,047  15,581  15,167 
Stock-based compensation expense 104,210  97,019  100,066  100,262  103,848  101,200  88,714  82,316  81,232  68,395  48,530  44,763  44,028  44,888  43,646  43,495  44,112  42,422  35,860  32,834  28,590  27,441 
Excess tax benefits from stock-based compensation —  —  —  —  —  —  —  —  —  —  —  —  —  —  (27,720) (12,762) (13,323) (11,316) 25,683  (37,726) (39,427) (29,001)
Other non-cash items 70,301  65,448  63,893  57,934  60,695  45,708  18,301  18,921  25,075  19,343  26,415  23,155  28,030  40,264  28,636  28,966  29,061  33,198  26,567  29,455  27,495  27,491 
Foreign currency remeasurement (gain) loss on debt 119,161  (93,060) 122,100  (171,360) 61,284  (57,600) (21,953) (7,670) (85,410) 41,080  25,740  50,830  64,220  —  —  —  —  —  —  —  —  — 
Deferred taxes 223,308  46,619  (188,694) 52,105  35,519  6,627  (14,479) (39,453) (9,539) (22,049) (104,132) (57,090) (20,702) (26,764) (26,706) 14,338  (17,876) (16,603) 12,036  (29,417) (4,232) (37,042)
Other current assets 3,066  (127,353) (195,951) 145  (24,231) (32,076) (88,359) (30,364) (25,564) (55,905) (87,090) (41,399) (80,199) (25,402) (1,679) 10,250  24,091  14,308  (35,974) 71,172  (39,614) 23,109 
Accounts payable (112,027) (149,153) 230,847  (7,643) (2,674) (124,467) 121,831  (4,449) 7,733  74,083  63,969  34,029  (12,439) (11,000) 15,540  27,810  8,795  (19,898) 49,031  6,762  6,447  (10,625)
Accrued expenses and other liabilities (105,450) 214,191  (234,036) 260,872  (26,705) 157,647  (49,776) 134,000  (52,851) 119,049  (5,169) 74,006  (48,042) 93,542  (3,582) 28,957  2,099  41,232  (39,619) 10,883  41,624  35,922 
Deferred revenue 42,508  62,008  9,239  22,729  84,085  47,793  44,176  18,983  23,848  55,270  83,197  32,947  46,609  15,221  16,266  30,230  22,753  27,502  16,982  27,985  16,414  10,754 
Other non-current assets and liabilities (38,803) (41,446) (47,003) (44,923) (26,119) (4,486) (26,741) (25,609) 40,582  13,830  (33,657) (7,549) (41,447) 8,850  (8,690) (11,065) (3,003) (29,536) (18,981) (20,540) (633) 21,788 
Changes in operating assets and liabilities (210,706) (41,753) (236,904) 231,180  4,356  44,411  1,131  92,561  (6,252) 206,327  21,250  92,034  (135,518) 81,211  17,855  86,182  54,735  33,608  (28,561) 96,262  24,238  80,948 
Adjustments to reconcile net income to net cash provided by (used in) operating activities 320,880  (449,155) (2,048,945) (1,167,038) (814,404) (723,851) (1,369,006) (1,093,246) (902,588) (526,881) (673,474) (549,197) (600,128) (522,078) (623,908) (513,458) (267,048) (256,248) (287,923) (225,401) (207,678) (151,078)
Net cash provided by (used in) operating activities 1,041,076  259,912  (1,461,975) (501,794) (543,754) (379,799) (1,235,072) (690,411) (518,239) (236,757) (487,957) (419,607) (534,528) (343,856) (557,160) (461,941) (226,293) (228,590) (244,745) (195,969) (181,343) (127,382)
Purchases of property and equipment (141,741) (98,015) (107,737) (45,333) (39,584) (60,381) (70,120) (39,333) (27,323) (37,170) (21,585) (33,963) (65,231) (52,523) (61,048) (27,366) (10,814) (8,425) (12,854) (37,820) (27,538) (13,036)
Change in other assets (260) (288) (99,834) (4,021) (10,452) (19,722) (10,238) (129,361) (12,993) (12,582) (14,256) (11,324) (8,688) (26,141) (20,414) (17,124) (17,017) (23,563) (18,537) (18,227) (20,425) (22,681)
Purchases of short-term investments —  —  —  —  —  —  —  —  —  —  —  (2,799) (14,246) (57,774) (5,603) (128,136) (18,492) (34,962) (146,582) (66,444) (67,949) (90,940)
Proceeds from sale of short-term investments —  —  —  —  —  —  —  —  —  —  —  250,278  14,128  55,748  83,797  171,747  18,752  8,188  114,832  43,887  48,412  51,948 
Proceeds from maturities of short-term investments —  —  —  —  —  —  —  —  —  —  —  —  17,605  5,100  27,690  24,855  24,675  63,025  22,580  31,125  19,170  31,887 
Net cash (used in) provided by investing activities (142,001) (98,303) (207,571) (49,354) (50,036) (80,103) (80,358) (168,694) (40,316) (49,752) (35,841) 202,192  (56,432) (75,590) 24,422  23,976  (2,896) 4,263  (40,561) (47,479) (48,330) (42,822)
Proceeds from issuance of debt 1,009,464  —  2,226,110  —  2,243,196  —  2,061,852  —  1,900,000  —  1,600,000  —  1,420,510  —  1,000,000  —  —  —  —  —  —  1,500,000 
Debt issuance costs (7,559) —  (17,942) —  (18,192) —  (18,879) —  (16,992) —  (16,828) (312) (15,013) —  (10,700) —  —  —  —  —  (397) (17,232)
Proceeds from issuance of common stock 89,060  43,694  15,633  11,989  21,896  22,972  11,450  29,781  26,936  56,335  14,705  34,669  14,826  24,178  25,392  3,819  4,232  3,536  8,171  35,089  23,804  10,916 
Excess tax benefits from stock-based compensation —  —  —  —  —  —  —  —  —  —  —  —  —  —  27,720  12,762  13,323  11,316  (25,683) 37,726  39,427  29,001 
Other financing activities —  —  —  —  —  —  (559) (544) (532) (321) 66  65  63  61  60  58  57  55  54  (61) (287) (251)
Net cash provided by financing activities 1,090,965  43,694  2,223,801  11,989  2,246,900  22,972  2,053,864  29,237  1,909,412  56,014  1,597,943  34,422  1,420,386  24,239  1,042,472  16,639  17,612  14,907  (17,458) 72,754  62,547  1,522,434 
Effect of exchange rate changes on cash, cash equivalents and restricted cash 11,819  (70,902) 29,810  (29,325) 4,998  (5,014) (4,957) (5,562) (36,340) 7,177  2,181  10,685  11,527  5,455  (11,316) (441) (2,742) 5,334  (3,343) (7,741) 6,221  (11,061)
Net increase (decrease) in cash, cash equivalents and restricted cash 2,001,859  134,401  584,065  (568,484) 1,658,108  (441,944) 733,477  (835,430) 1,314,517  (223,318) 1,076,326  (172,308) 840,953  (389,752) 498,418  (421,767) (214,319) (204,086) (306,107) (178,435) (160,905) 1,341,169 

Based on: 10-Q (filing date: 2020-07-20), 10-Q (filing date: 2020-04-21), 10-K (filing date: 2020-01-29), 10-Q (filing date: 2019-10-18), 10-Q (filing date: 2019-07-19), 10-Q (filing date: 2019-04-18), 10-K (filing date: 2019-01-29), 10-Q (filing date: 2018-10-18), 10-Q (filing date: 2018-07-18), 10-Q (filing date: 2018-04-18), 10-K (filing date: 2018-01-29), 10-Q (filing date: 2017-10-18), 10-Q (filing date: 2017-07-19), 10-Q (filing date: 2017-04-20), 10-K (filing date: 2017-01-27), 10-Q (filing date: 2016-10-20), 10-Q (filing date: 2016-07-19), 10-Q (filing date: 2016-04-20), 10-K (filing date: 2016-01-28), 10-Q (filing date: 2015-10-16), 10-Q (filing date: 2015-07-17), 10-Q (filing date: 2015-04-17).

Cash flow statement item Description The company
Net cash provided by (used in) operating activities Amount of cash inflow (outflow) from operating activities, excluding discontinued operations. Operating activity cash flows include transactions, adjustments, and changes in value not defined as investing or financing activities. Netflix Inc.’s net cash provided by (used in) operating activities increased from Q4 2019 to Q1 2020 and from Q1 2020 to Q2 2020.
Net cash (used in) provided by investing activities Amount of cash inflow (outflow) of investing activities, excluding discontinued operations. Investing activity cash flows include making and collecting loans and acquiring and disposing of debt or equity instruments and property, plant, and equipment and other productive assets. Netflix Inc.’s net cash (used in) provided by investing activities increased from Q4 2019 to Q1 2020 but then slightly decreased from Q1 2020 to Q2 2020.
Net cash provided by financing activities Amount of cash inflow (outflow) of financing activities, excluding discontinued operations. Financing activity cash flows include obtaining resources from owners and providing them with a return on, and a return of, their investment; borrowing money and repaying amounts borrowed, or settling the obligation; and obtaining and paying for other resources obtained from creditors on long-term credit. Netflix Inc.’s net cash provided by financing activities decreased from Q4 2019 to Q1 2020 but then slightly increased from Q1 2020 to Q2 2020.