Netflix Korea Revenue Tops 1 Trillion Won for First Time, Reaching 1.0542 Trillion in 2025
Key Facts
Netflix’s South Korean unit generated revenue of 1.0542 trillion won in 2025, crossing the 1 trillion threshold for the first time, according to company data reported by Aju Press. Sales rose 17.2% from 899.7 billion won in 2024. Despite the growth, the unit posted operating profit of 20.3 billion won, for an operating margin of 1.9%. The results highlight the expansion of the company’s local business alongside the limited operating profit the unit generated relative to its sales. The unit also paid 853.9 billion won to Netflix and its affiliates for membership purchases and other group fees during 2025.
Sales growth extends beyond the latest annual comparison: the unit’s revenue has risen about 67% since 2021, when it stood at 631.7 billion won. Over the five years ended in 2025, the company recorded total sales of 4.1822 trillion won. Payments to the parent company and affiliates reached 3.4133 trillion won over the same period, equivalent to 81.6% of sales. The figures put a key aspect of the unit’s financial model in focus, as revenue growth coincided with a large share being transferred within the group. Operating profit of 20.3 billion won in 2025 represented a margin of 1.9% of sales.
The results come as Netflix has broad reach among paid streaming services in the domestic market. A government survey of 8,320 people found that 46.7% used Netflix’s paid service, compared with 13% for TVING and 4.1% for Wavve. The two local platforms posted operating losses in 2025: TVING’s loss was 69.8 billion won and Wavve’s was 12.2 billion won. The comparison places Netflix ahead in usage at a time when local platforms have struggled to achieve profitability. These are indicators of the scale of competition in the Korean market, not a direct explanation for the rise in Netflix Korea’s revenue.
Globally, Netflix said in an announcement marking 10 years of its operations in Korea that more than 80% of its members worldwide had watched Korean content. It added that Korean content had become the most-watched non-English-language content on its platform. Since tracking of the Global Top 10 list began in June 2021, more than 200 Korean stories have appeared on the list. The company also said that more than a third of its Korean productions between 2024 and 2026 were directed or written by creators making their debut. The figures reflect the reach of Korean productions on the platform and the range of people involved, while remaining separate from an explanation of the local unit’s revenue growth.
The group’s quarterly results provide broader context for assessing the Korean unit’s performance. Netflix reported net income of $3.66 billion in the third quarter of 2026, up 44% from $2.55 billion in the same period a year earlier. Group revenue rose 12% to $12.87 billion from $11.51 billion a year earlier. Revenue matched analysts’ estimates compiled by FactSet at $12.87 billion, while their earnings estimate was 82 cents per share. After the results were released, the stock fell $2.79, or 4.1%, to $65.90 in extended trading, according to The Associated Press.
For the fourth quarter of 2026, Netflix forecast revenue of $13.4 billion, below the average analyst estimate of $13.5 billion. The company’s stock closed at $63.9 on October 26, 2026, according to L7 data. This comes after the decline recorded in extended trading following the third-quarter results, with fourth-quarter financial guidance the next milestone in the company’s disclosure. Annual revenue at the Korean unit remains an indicator of the expansion of its local business, alongside figures on the global reach of Korean content. Profitability and payments to the group offer a parallel picture of how returns are distributed within Netflix’s Korean operations.