On Jan. 24, 2007, Netflix
- While revenues were up 43.6% to $277.2 million, the bottom line fell by 61.1%, to $14.9 million.
- Netflix recently launched an online video-streaming service, which the company hopes will allow it to remain the movie-rental leader.
- Net subscriber additions for the quarter were up 51% year over year to 654,000, for a total subscriber base of more than 6.3 million.
- Netflix is only a two-star stock in CAPS, our new interactive stock database.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q4 2006 |
Q4 2005 |
Change |
|
|---|---|---|---|
|
Sales |
$277.2 |
$193.0 |
43.6% |
|
Net Profit |
$14.9 |
$38.2 |
(61.1%) |
|
EPS |
$0.21 |
$0.57 |
(63.2%) |
|
Diluted Shares |
70,670.0 |
66,962.0 |
5.5% |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q4 2006 |
Q4 2005 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
38.9% |
37.2% |
1.7 |
|
Operating Margin |
6.7% |
1.5% |
5.2 |
|
Net Margin |
5.4% |
19.8% |
(14.4) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$400.4 |
$212.3 |
88.7% |
|
Net DVD Library |
$104.9 |
$57.0 |
84.0% |
|
Liabilities |
Q4 2006 |
Q4 2005 |
Change |
|---|---|---|---|
|
Accounts Payable |
$93.9 |
$63.5 |
47.8% |
|
Long-Term Debt |
N/A |
N/A |
N/A |
Learn the ways of the balance sheet.
Cash Flow Highlights
|
Q4 2006 |
Q4 2005 |
Change |
|
|---|---|---|---|
|
Cash From Ops. |
$87.1 |
$59.1 |
47.5% |
|
Capital Expenditures |
$11.5 |
$10.4 |
10.4% |
|
Free Cash Flow |
$75.6 |
$48.7 |
55.4% |
Find out why Fools always follow the money.
Related Companies:
-
Blockbuster
(NYSE:BBI) -
Amazon.com
(NASDAQ:AMZN) -
Movie Gallery
(NASDAQ:MOVI)
Related Foolishness:
- The Best E-Commerce Stock for 2007: Netflix
- Netflix Bucks the Trend
- Foolish Forecast: Netflix Just Getting Started
- Netflix Finally Lives Up to Its Name
Netflix and Amazon.com are Motley Fool Stock Advisor recommendations. To find out why, try a free 30-day trial of the newsletter.
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