What exactly is Netflix and how does it make money?

From their most recent annual report, Netflix reports itself as one of the world’s leading entertainment services with 302 million memberships in over 190 countries. They offer TV shows, movies, and games in multiple languages and genres.

They offer a variety of pricing plans including one with ads and day their strategy is to grow by improving members experiences with their content and attracting new members.

They state their revenue is primarily derived from monthly membership fees. Interesting to me, they state the fourth quarter has the greatest membership growth historically.

When I looked at their Results of operations they really do just list streaming as only income which I was actually surprised about but I’ll be curious to see as I investigate into the company more what that actually entails because I know they had ads in some of the subscriptions. They made $39,000,966 in 2024 and $33,723,297 in 2023.