Netflix Reports Slowing Revenue Growth, Expands Theatrical Releases

According to Semafor, Netflix reported its third straight quarter of slowing revenue growth. The company also acknowledged stagnating viewership. Shares fell more than 5% on the day of the announcement. The decline follows a 40% drop in shares since April.

According to CNBC, Netflix laid off roughly 1,000 employees, including head of film Dan Lin. The company also dismissed Dan Lin and his right hand Doug Belgrad. Peter Rice, a former Disney executive, was appointed chief content officer. Bela Bajaria was ousted as chief content officer.

According to CNBC, Netflix plans 30 theatrical releases in 2027, matching the number in 2026. The company is testing a 49‑day exclusive theatrical window for Greta Gerwig’s Narnia film. The releases are not all expected to have wide runs. Netflix remains a streaming‑first business.

According to Wedbush analyst Alicia Reese, theatrical releases are a net positive for reach and streaming demand. Reese said Netflix’s exclusive theatrical windows will not cannibalize the streaming window. The strategy follows a pattern seen with major studios.

According to CNBC, Netflix highlighted a deal with Disney to bring Ice Age films to the service. The company said all five Ice Age titles hit its top 10. Sarandos mentioned the deal during the earnings call.