American OTT giant Netflix's Indian arm reports 63% rise in net profit to Rs 85 crore in FY25

Netflix Entertainment Services India LLP, the Indian arm of the American OTT giant Netflix, reported a 63% rise in net profit to Rs 85 crore for FY25, according to filings with the Ministry of Corporate Affairs sourced from Tofler.

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The company had posted a profit of Rs 52 crore in the previous fiscal year.

Revenue from operations grew 32% to Rs 3,769 crore from Rs 2,846 crore a year earlier, driven by robust subscriber additions through direct plans and bundling partnerships with telecom operators. While Netflix does not disclose its subscriber numbers, industry estimates place its base at around 20 million to 22 million across direct-to-consumer and bundled plans.

Including other income of Rs 73 crore, total income reached Rs 3,842 crore. Total expenditure increased 32% to Rs 3,711 crore from Rs 2,811 crore, as “other expenses”,  which include content production, marketing and related operational costs, rose to Rs 3,616 crore from Rs 2,688 crore. Personnel costs declined to Rs 88 crore from Rs 106 crore in FY24.

The company’s total assets and liabilities climbed to Rs 1,368 crore as of March 31, 2025, compared with Rs 1,116 crore a year earlier. Partner contributions remained unchanged at Rs 65 crore, while reserves and surplus grew to Rs 218 crore from Rs 133 crore, reflecting retained earnings. Netflix India reported no secured or unsecured loans during the year.

Trade payables and customer advances rose to Rs 863 crore from Rs 703 crore, while deferred revenue and statutory dues stood at Rs 214 crore, marginally higher than Rs 208 crore a year earlier. Cash and cash equivalents fell to Rs 800 crore from Rs 861 crore, even as loans and advances increased to Rs 371 crore from Rs 115 crore and trade receivables rose to Rs 137 crore from Rs 86 crore.

The filings also flagged potential income-tax liabilities for assessment years 2021-22 and 2022-23 that are “not reasonably ascertainable” due to ongoing proceedings before the Income Tax Appellate Tribunal and the Commissioner of Income Tax (Appeals).

At the World Audio Visual and Entertainment Summit held in Mumbai in May, Netflix co-CEO Ted Sarandos said the company’s investments in India generated an estimated economic impact of $2 billion between 2021 and 2024.

He noted that Indian content accounted for 15% of Netflix’s Top 10 non-English titles worldwide in 2024, with at least one Indian title appearing in the global Top 10 every week — reaching audiences in more than 80 countries.