Netflix has achieved a major milestone in its advertising journey, reporting ad revenues of over $1.5 billion in 2025-the highest since it introduced advertising on the platform in late 2022. This figure represents a strong 2.5x growth compared to 2024, underscoring the rapid scale-up of Netflix’s ad-supported offerings.

The update was shared as part of the company’s latest earnings report, which highlighted robust overall financial performance. Netflix posted Q4 FY25 revenue of $2.42 billion, marking a significant rise from $1.87 billion in the same quarter last year. On an annual basis, the streaming giant closed 2025 with total revenues of $45.2 billion, reflecting a 16% year-on-year increase from 2024.

Sales and marketing expenses also saw an uptick, reaching $1.11 billion in the fourth quarter, up 14% from $976.2 million in Q4 FY24. This increase aligns with Netflix’s continued investments in subscriber acquisition, brand marketing, and advertiser partnerships. The platform now boasts more than 325 million paid memberships globally, driven by steady subscriber growth, higher subscription pricing, and the expanding contribution of advertising revenue.

Looking ahead to 2026, Netflix plans to deepen its focus on live experiences, including marquee events such as the World Baseball Classic in Japan. The company is also exploring new content formats like video podcasts and accelerating its cloud-first gaming strategy to diversify engagement. Additionally, Netflix is progressing toward closing its acquisition of Warner Bros., signaling an ambitious phase of expansion and consolidation in the entertainment ecosystem.

Overall, Netflix’s surging ad revenue highlights its successful transition into a hybrid subscription-advertising model and its growing appeal to global advertisers.