Summary: Netflix Inc. - S&P Global Ratings’ Credit Research

Summary: Netflix Inc.

Summary: Netflix Inc. - S&P Global Ratings’ Credit Research
Summary: Netflix Inc.
Published Aug 19, 2014
2294 words — Published Aug 19, 2014
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Abstract:

Market leader in over-the-top content distribution. Dependence on movie and TV studios for content. Well-recognized brand name. Low EBITDA margin. Discretionary cash flow deficits over the next two years. Aggressive financial policy. Very substantial streaming content commitment. The rating outlook is stable. Steady subscriber growth trends and the related boost to revenue and EBITDA currently support our view that Netflix can continue its pace of original programming investments and enter new markets without a material negative effect on credit measures. While Netflix's original series have achieved some success, we view original programming as more risky than licensed content. We could lower the rating if Netflix experiences a precipitous decline in subscriber growth such that programming investments (original and licensed) significantly

  
Brief Excerpt:

RESEARCH Summary: Netflix Inc. Publication date: 19-Aug-2014 Primary Credit Analyst: Andy Liu, CFA, Chicago (1) 312-233-7052; andy.liu@standardandpoors.com Secondary Contact: Chris E Valentine, New York (1) 212-438-1434; chris.valentine@standardandpoors...

  
Report Type:

Summary

Issuer
Netflix Inc.
GICS
Internet Retail (25502020)
Sector
Global Issuers
Country
United States
Region
United States
Format:
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MLA:
S&P Global Ratings’ Credit Research. "Summary: Netflix Inc." Aug 19, 2014. Alacra Store. May 22, 2025. <http://www.alacrastore.com/s-and-p-credit-research/Summary-Netflix-Inc-1354227>
  
APA:
S&P Global Ratings’ Credit Research. (). Summary: Netflix Inc. Aug 19, 2014. New York, NY: Alacra Store. Retrieved May 22, 2025 from <http://www.alacrastore.com/s-and-p-credit-research/Summary-Netflix-Inc-1354227>
  
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