Return on Assets (ROA)
since 2005
Calculation
Netflix Inc., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 19.75% | = | 100 | × | 10,981,201) | ÷ | 55,596,993) |
| Dec 31, 2024 | 16.24% | = | 100 | × | 8,711,631) | ÷ | 53,630,374) |
| Dec 31, 2023 | 11.10% | = | 100 | × | 5,407,990) | ÷ | 48,731,992) |
| Dec 31, 2022 | 9.24% | = | 100 | × | 4,491,924) | ÷ | 48,594,768) |
| Dec 31, 2021 | 11.48% | = | 100 | × | 5,116,228) | ÷ | 44,584,663) |
| Dec 31, 2020 | 7.03% | = | 100 | × | 2,761,395) | ÷ | 39,280,359) |
| Dec 31, 2019 | 5.49% | = | 100 | × | 1,866,916) | ÷ | 33,975,712) |
| Dec 31, 2018 | 4.66% | = | 100 | × | 1,211,242) | ÷ | 25,974,400) |
| Dec 31, 2017 | 2.94% | = | 100 | × | 558,929) | ÷ | 19,012,742) |
| Dec 31, 2016 | 1.37% | = | 100 | × | 186,678) | ÷ | 13,586,610) |
| Dec 31, 2015 | 1.20% | = | 100 | × | 122,641) | ÷ | 10,202,871) |
| Dec 31, 2014 | 3.78% | = | 100 | × | 266,799) | ÷ | 7,056,651) |
| Dec 31, 2013 | 2.08% | = | 100 | × | 112,403) | ÷ | 5,412,563) |
| Dec 31, 2012 | 0.43% | = | 100 | × | 17,152) | ÷ | 3,967,890) |
| Dec 31, 2011 | 7.37% | = | 100 | × | 226,126) | ÷ | 3,069,196) |
| Dec 31, 2010 | 16.38% | = | 100 | × | 160,853) | ÷ | 982,067) |
| Dec 31, 2009 | 17.04% | = | 100 | × | 115,860) | ÷ | 679,734) |
| Dec 31, 2008 | 13.44% | = | 100 | × | 83,026) | ÷ | 617,946) |
| Dec 31, 2007 | 10.35% | = | 100 | × | 66,952) | ÷ | 647,020) |
| Dec 31, 2006 | 8.06% | = | 100 | × | 49,082) | ÷ | 608,779) |
| Dec 31, 2005 | 11.52% | = | 100 | × | 42,027) | ÷ | 364,681) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The return on assets (ROA) exhibited considerable fluctuation over the analyzed period, spanning from 2005 to 2025. Initially, the ROA demonstrated an increasing trend, peaking in 2009, followed by a significant decline and subsequent recovery. A detailed examination reveals distinct phases in the company’s profitability relative to its asset base.
- Early Growth Phase (2005-2009)
- From 2005 to 2009, the ROA generally increased, moving from 11.52% to a high of 17.04%. This period suggests improving efficiency in utilizing assets to generate income. The increase indicates a strengthening relationship between net income and total assets.
- Volatility and Initial Decline (2010-2012)
- Following 2009, the ROA experienced a sharp decrease, falling to 7.37% in 2011 and reaching a low of 0.43% in 2012. This decline coincided with a substantial increase in total assets, suggesting that asset growth outpaced income growth during this period. The significant asset expansion, particularly in 2011, appears to have temporarily diluted profitability.
- Recovery and Moderate Growth (2013-2017)
- From 2013 to 2017, the ROA showed a recovery, gradually increasing from 2.08% to 2.94%. While not reaching the levels observed before 2009, this period indicates a stabilization and improvement in asset utilization. Net income growth began to catch up with the previously rapid asset expansion.
- Accelerated Growth (2018-2025)
- The period from 2018 to 2025 witnessed a substantial and consistent increase in ROA. Starting at 4.66% in 2018, it rose to 19.75% in 2025. This acceleration suggests a highly effective deployment of assets and significant income generation. The growth in net income significantly outpaced the growth in total assets during this phase, driving the substantial improvement in ROA. The ROA in 2023 and 2024 were 16.24% and 19.75% respectively, indicating a strong and sustained upward trend.
Overall, the ROA trajectory demonstrates a company that navigated periods of rapid growth, asset expansion, and eventual optimization. The latter portion of the analyzed period is characterized by a particularly strong and positive trend, indicating enhanced profitability and efficient asset management.
Comparison to Competitors
Netflix Inc., ROA, long-term trends, comparison to competitors
| Netflix Inc. | Alphabet Inc. | Comcast Corp. | Meta Platforms Inc. | Trade Desk Inc. | Walt Disney Co. | |
|---|---|---|---|---|---|---|
| Dec 31, 2025 | 19.75% | — | — | — | — | 6.28% |
| Dec 31, 2024 | 16.24% | 22.24% | 6.08% | 22.59% | 6.43% | 2.53% |
| Dec 31, 2023 | 11.10% | 18.34% | 5.81% | 17.03% | 3.66% | 1.15% |
| Dec 31, 2022 | 9.24% | 16.42% | 2.09% | 12.49% | 1.22% | 1.54% |
| Dec 31, 2021 | 11.48% | 21.16% | 5.13% | 23.72% | 3.85% | 0.98% |
| Dec 31, 2020 | 7.03% | 12.60% | 3.85% | 18.29% | 8.80% | -1.42% |
| Dec 31, 2019 | 5.49% | 12.45% | 4.96% | 13.86% | 6.27% | 5.70% |
| Dec 31, 2018 | 4.66% | 13.20% | 4.66% | 22.72% | 7.88% | 12.78% |
| Dec 31, 2017 | 2.94% | 6.42% | 12.15% | 18.85% | 6.37% | 9.37% |
| Dec 31, 2016 | 1.37% | 11.63% | 4.82% | 15.73% | 3.81% | 10.20% |
| Dec 31, 2015 | 1.20% | 11.09% | 4.90% | 7.46% | — | 9.51% |
| Dec 31, 2014 | 3.78% | 11.01% | 5.26% | 7.32% | — | 8.91% |
| Dec 31, 2013 | 2.08% | 11.65% | 4.29% | 8.38% | — | 7.55% |
| Dec 31, 2012 | 0.43% | 11.45% | 3.76% | 0.35% | — | 7.59% |
| Dec 31, 2011 | 7.37% | 13.42% | 2.64% | — | — | 6.66% |
| Dec 31, 2010 | 16.38% | 14.70% | 3.07% | — | — | 5.73% |
| Dec 31, 2009 | 17.04% | 16.10% | 3.23% | — | — | 5.24% |
| Dec 31, 2008 | 13.44% | 13.31% | 2.25% | — | — | 7.08% |
| Dec 31, 2007 | 10.35% | 16.59% | 2.28% | — | — | 7.69% |
| Dec 31, 2006 | 8.06% | 16.66% | 2.29% | — | — | 5.62% |
| Dec 31, 2005 | 11.52% | 14.27% | 0.90% | — | — | 4.77% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Media & Entertainment)
Netflix Inc., ROA, long-term trends, comparison to sector (media & entertainment)
| Netflix Inc. | Media & Entertainment | |
|---|---|---|
| Dec 31, 2025 | 19.75% | — |
| Dec 31, 2024 | 16.24% | 15.44% |
| Dec 31, 2023 | 11.10% | 11.78% |
| Dec 31, 2022 | 9.24% | 9.04% |
| Dec 31, 2021 | 11.48% | 12.99% |
| Dec 31, 2020 | 7.03% | 8.04% |
| Dec 31, 2019 | 5.49% | 8.75% |
| Dec 31, 2018 | 4.66% | 11.09% |
| Dec 31, 2017 | 2.94% | 10.42% |
| Dec 31, 2016 | 1.37% | 9.24% |
| Dec 31, 2015 | 1.20% | 7.95% |
| Dec 31, 2014 | 3.78% | 7.95% |
| Dec 31, 2013 | 2.08% | 7.34% |
| Dec 31, 2012 | 0.43% | 6.43% |
| Dec 31, 2011 | 7.37% | 6.19% |
| Dec 31, 2010 | 16.38% | 6.60% |
| Dec 31, 2009 | 17.04% | 6.26% |
| Dec 31, 2008 | 13.44% | 5.43% |
| Dec 31, 2007 | 10.35% | 5.76% |
| Dec 31, 2006 | 8.06% | 4.77% |
| Dec 31, 2005 | 11.52% | 2.98% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Communication Services)
Netflix Inc., ROA, long-term trends, comparison to industry (communication services)
| Netflix Inc. | Communication Services | |
|---|---|---|
| Dec 31, 2025 | 19.75% | — |
| Dec 31, 2024 | 16.24% | 10.40% |
| Dec 31, 2023 | 11.10% | 7.93% |
| Dec 31, 2022 | 9.24% | 5.42% |
| Dec 31, 2021 | 11.48% | 8.36% |
| Dec 31, 2020 | 7.03% | 4.70% |
| Dec 31, 2019 | 5.49% | 6.30% |
| Dec 31, 2018 | 4.66% | 7.37% |
| Dec 31, 2017 | 2.94% | 9.22% |
| Dec 31, 2016 | 1.37% | 6.13% |
| Dec 31, 2015 | 1.20% | 5.86% |
| Dec 31, 2014 | 3.78% | 4.94% |
| Dec 31, 2013 | 2.08% | 5.87% |
| Dec 31, 2012 | 0.43% | 3.63% |
| Dec 31, 2011 | 7.37% | 3.13% |
| Dec 31, 2010 | 16.38% | 5.26% |
| Dec 31, 2009 | 17.04% | 4.17% |
| Dec 31, 2008 | 13.44% | 4.53% |
| Dec 31, 2007 | 10.35% | 4.38% |
| Dec 31, 2006 | 8.06% | 3.48% |
| Dec 31, 2005 | 11.52% | 3.57% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).