Netflix said on Tuesday it had reached 325 million global paid subscribers, a new milestone for the streaming giant that last reported membership numbers a year ago.

The company reported fourth-quarter earnings and revenue that narrowly beat Wall Street estimates. Here’s how Netflix performed for the period ended Dec. 31, compared with estimates from analysts polled by LSEG:

• Earnings per share: 56 cents vs. 55 cents, estimated
• Revenue: $12.05 billion vs $11.97 billion, estimated

Net income for the period was $2.42 billion, or 56 cents per share, up from $1.87 billion, or 43 cents per share, during the same period a year earlier.

Netflix said revenue during the fourth quarter rose 18% year over year, driven by membership growth, higher subscription pricing and increased advertising revenue. In recent years Netflix has been focused on growing its ad-supported membership tier.

Netflix launched its ad-supported option in late 2022. On Tuesday, it said 2025 ad revenue grew by more than 2.5-times from 2024 to over $1.5 billion.

The company said it expects 2026 overall revenue to range between $50.7 billion and $51.7 billion, due to increases in membership and pricing, as well as “a projected rough doubling of ad revenue in 2026” compared to the prior year.

Still, Netflix’s stock was down 5% in after-market trading on Tuesday.

Netflix’s quarterly report comes against the backdrop of its proposed transaction of Warner Bros. Discovery’s streaming and film studio assets. The company announcement in December that it had agreed to acquire streamer HBO Max and the Warner Bros. film studio for $27.75 per WBD share, or an equity value of $72 billion.