Disney vs Netflix: Revenue, Profit and Business Model
Disney reported $94.4B of revenue in FY2025 and $12.4B of net income. Netflix reported $45.2B of revenue in FY2025 and $11B of net income.
Latest financial snapshot
Financial summary
Disney
Disney's fiscal 2025 (ended September 27, 2025) revenue rose 3% to $94.4 billion, net income was $12.4 billion and adjusted EPS increased 19% to $5.93. Total segment operating income rose 12% to $17.6 billion, led by a record $10.0 billion from Experiences. Streaming became a reliable profit contributor after years of losses. In fiscal Q3 2026 (ended June 27, 2026), revenue grew 7% to $25.25 billion, Experiences revenue rose 10% to $9.97 billion, entertainment streaming revenue rose 11% to $5.53 billion, and adjusted EPS climbed to $2.06 from $1.61. Management guided to $9 billion of fiscal 2026 capital spending, about $24 billion of content investment and at least $9 billion of share repurchases.
Netflix
Netflix spent much of the 2010s running negative free cash flow and borrowing to fund originals such as Stranger Things. That investment phase is over. Revenue grew from $8.8B in 2016 to $45.18B in 2025, net income from $187M to $10.98B, and operating margin reached 29.5% in 2025. The company now self-funds its content slate and buys back stock; it had about $27B left under its repurchase authorization in September 2026. In 2026 it guided to $51.0B-$51.4B in revenue and a 31.5% operating margin, and it also received a one-time $2.8B termination fee after the Warner Bros. deal ended.
Revenue and profit by year
Disney
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $94.4B | $12.4B | 13.1% | +3.4% | Source |
| FY2024 | $91.4B | — | 0.0% | +2.8% | Source |
| FY2023 | $88.9B | — | 0.0% | +7.5% | Source |
| FY2022 | $82.7B | — | 0.0% | +22.7% | Source |
| FY2021 | $67.4B | — | 0.0% | +3.1% | Source |
| FY2020 | $65.4B | — | 0.0% | -6.1% | Source |
| FY2019 | $69.6B | — | 0.0% | +17.1% | Source |
| FY2018 | $59.4B | — | 0.0% | +7.8% | Source |
| FY2017 | $55.1B | — | 0.0% | — | Source |
Netflix
| Year | Revenue | Net income | Margin | Growth | Source |
|---|---|---|---|---|---|
| FY2025 | $45.2B | $11B | 24.3% | +15.9% | Source |
| FY2024 | $39B | $8.7B | 22.3% | +15.6% | Source |
| FY2023 | $33.7B | $5.4B | 16.0% | +6.7% | Source |
| FY2022 | $31.6B | $4.5B | 14.2% | +6.5% | Source |
| FY2021 | $29.7B | $5.1B | 17.2% | +18.8% | Source |
| FY2020 | $25B | $2.8B | 11.0% | +24.0% | Source |
| FY2019 | $20.2B | $1.9B | 9.3% | +27.6% | Source |
| FY2018 | $15.8B | $1.2B | 7.7% | +35.1% | Source |
| FY2017 | $11.7B | $558.9M | 4.8% | +32.4% | Source |
| FY2016 | $8.8B | $186.7M | 2.1% | — | Source |
Where the revenue comes from
Disney
- Entertainment~44%
Disney+, Hulu, theatrical films, content licensing, ABC and cable networks: $42.5B FY2025 revenue.
- Experiences~38%
Theme parks, resorts, Disney Cruise Line and consumer products: $36.2B FY2025 revenue.
- Sports~18%
ESPN affiliate fees, advertising and direct-to-consumer subscriptions: $17.7B FY2025 revenue.
Netflix
- Streaming membership fees
Roughly 95%+ of revenue
Monthly fees for Standard with Ads, Standard and Premium plans plus extra-member charges. Netflix reports almost all revenue as streaming revenue across four regions.
- Advertising
About 3% of 2025 revenue
Ads sold on the Standard with Ads tier and live events through Netflix Ads Suite. Ad revenue passed $1.5B in 2025 and is expected to roughly double in 2026.
- Other (licensing, consumer products, DVD legacy)
Small, not separately material
Consumer products, Netflix House experiences and other small lines; the DVD service closed in September 2023.
Business model and strategy
Disney
How it makes money
Disney reports three segments. Entertainment ($42.5B FY2025 revenue, $4.7B segment operating income) sells Disney+ and Hulu subscriptions and advertising, releases films theatrically, licenses content and runs ABC and cable networks. Sports ($17.7B revenue, $2.9B operating income) is mainly ESPN, which earns affiliate fees from pay-TV distributors, advertising and direct-to-consumer subscriptions.
Growth strategy
Under CEO Josh D'Amaro, Disney's plan centers on a 'One Disney' push to align its divisions around franchises, plus three investment priorities. First, streaming margins: Disney targeted a 10% operating margin for Entertainment DTC in fiscal 2026 through price increases, advertising tiers, password-sharing limits and the integrated Disney+ and Hulu app.
Competitive advantage
Disney owns a franchise library that few rivals can match, including Mickey Mouse, Disney Animation, Pixar, Marvel, Star Wars, Avatar and The Simpsons, and it can monetize the same story through box office, Disney+, parks, cruises and licensing. Its parks are hard to copy because they need decades of land, capital and Imagineering know-how; Walt Disney World alone spans about 25,000 acres.
Netflix
How it makes money
Netflix makes money mainly from monthly membership fees for its streaming service, sold in tiers that range from Standard with Ads to the ad-free Standard and Premium plans, with extra-member fees for people outside a household. Advertising is the second, smaller stream: it passed $1.5B in 2025 and management expects it to roughly double in 2026. Content is the main cost.
Growth strategy
Netflix's growth plan for 2026 rests on four levers: price increases backed by engagement, a larger in-house ad business, live programming such as WWE Raw (which moved to Netflix in January 2025 under a reported 10-year deal) and NFL Christmas Day games, and a broader catalog that includes games and video podcasts. Management guided to 13%-14% revenue growth in 2026 with content expense up about 10%.
Competitive advantage
Netflix's edge is scale relative to rivals that still depend on legacy TV. It crossed 325 million paid memberships in Q4 2025, so a large content budget costs far less per member than it would for a smaller service. Its recommendation system, own content delivery network (Open Connect), app presence on nearly every connected screen, and a library of global originals reinforce that lead.
Questions about Disney vs Netflix
Which company has higher revenue — The Walt Disney Company or Netflix, Inc.?
The Walt Disney Company reported $94.4B (FY2025), while Netflix, Inc. reported $45.2B (FY2025). By last reported revenue, The Walt Disney Company is the larger business, with Netflix, Inc. reporting a smaller revenue base.
What is the market cap of The Walt Disney Company vs Netflix, Inc.?
The Walt Disney Company's market capitalisation stands at $180.0B, while Netflix, Inc.'s is $298.9B. Netflix, Inc. carries the higher market valuation, reflecting investors' expectations of its future earnings power relative to The Walt Disney Company.
Which is more financially efficient — The Walt Disney Company or Netflix, Inc.?
The Walt Disney Company generates $409k / employee in revenue per employee, while Netflix, Inc. generates $2.82M / employee. Netflix, Inc. shows higher revenue efficiency per headcount, though this reflects business model differences — capital-light software companies routinely outperform labour-intensive manufacturers on this metric.
How do The Walt Disney Company and Netflix, Inc. make money?
The Walt Disney Company and Netflix, Inc. generate revenue in fundamentally different ways. The Walt Disney Company: Disney reports three segments. Netflix, Inc.: Netflix makes money mainly from monthly membership fees for its streaming service, sold in tiers that range from Standard with Ads to the ad-free Standard and Premium plans, with extra-member fees for people outside a household.
Which company is valued higher relative to revenue — The Walt Disney Company or Netflix, Inc.?
On a price-to-sales (P/S) basis, The Walt Disney Company trades at 1.9x P/S and Netflix, Inc. at 6.6x P/S. Netflix, Inc. commands a higher revenue multiple, typically indicating that investors expect faster growth or higher future margins compared to The Walt Disney Company. A higher multiple is not inherently better — it may also signal that the stock is priced for perfection.
Is The Walt Disney Company bigger than Netflix, Inc.?
By last reported revenue, The Walt Disney Company ($94.4B (FY2025)) is the larger company compared to Netflix, Inc. ($45.2B (FY2025)). Revenue scale is one dimension of size — market capitalisation, employee count, and geographic reach are also relevant depending on the context.
Figures come from each company's filings and the sources linked beside them. Amounts reported in another currency are shown in US dollars at an approximate rate and marked with ~. Back to the Disney vs Netflix overview