An Analysis of Netflix Financials Coursework Example

An Analysis of Netflix Financials Author Institute Affiliation ABSTRACT. The entertainment industry is one that is quickly changing as technology advances to cope with the change in demand for various products yet still, keep their customers satisfied. Netflix has however overcome all the challenges to emerge one of the most enviable entertainment companies in the world. With its key assets being the subscribers it strives to fulfill their needs and remain relevant, and it has no struggle doing this; as it has been easy to adopt change over time. In this paper, however, a dive into the financials of the company, reveal its performance over time, although most of the information is based on the performance of the company in the years 2016 and the semi-annual year ended 2017, it sure reflects how well it has been doing over time and its great news for the investors among other shareholders as most of the measures it puts in place are for the wellbeing of the company and its stakeholders. An Analysis of Netflix Financials. As the leading entertainment company, a lot is expected of Netflix. Key among them is maintaining the quality of products that clients love while still satisfying their needs. Netflix has however passed the test of time since it has remained relevant to the market and managed to retain a lot of customers over time and even garner more subscribers (Salapa, 2016) which has resulted in increased revenues for the enterprise over time alongside the need to expand its business to other countries. Subscriptions, therefore, play a vital role in the existence of the company. To remain in the market, however, you require being profitable, otherwise what is the point of the entire endeavor? It is, however, advisable that expenses remain as low as possible such that the revenue that is earned is not depleted by the settlement of the existing commitments. Hence cash management has to be keenly observed while also working hard to manage your cash flow. C...