Netflix $NFLX's board of directors authorized the repurchase of an additional $25 billion of the company's common stock on April 22, according to an SEC filing. Carrying no expiration date, the new authorization runs alongside the December 2024 repurchase program, which had roughly $6.8 billion left to deploy as of the end of the first quarter.
Since reporting first-quarter results on April 16, Netflix shares have shed more than 13% of their value, ending the April 22 session at $93.24. At their peak, shares reached $134.12 during intraday trading in June 2025.
The buyback follows a turbulent period for the company. Netflix had announced an $83 billion agreement to acquire Warner Bros. Discovery's streaming and studio assets, only to walk away from the deal in February after Paramount $PARA Skydance raised its competing bid for the same assets. Paramount paid Netflix a $2.8 billion termination fee, according to Variety.
During the first quarter, the company spent roughly $1.3 billion to retire 13.5 million shares, according to Bloomberg. At quarter's end, the balance sheet showed $14.4 billion in gross debt against $12.3 billion in cash and cash equivalents.
The unusually high cash balance, Netflix explained, stems from having held off on buybacks while the Warner Bros. deal was pending and then collecting the termination payment afterward. In its first-quarter shareholder letter, the company said it prioritizes reinvestment in the business before returning excess cash through buybacks.
According to the SEC filing, shares may be retired via a range of mechanisms, among them open market activity, privately negotiated agreements, accelerated repurchase arrangements, and block transactions. The company is not obligated to repurchase any specific number of shares, and said it may discontinue the program without notice.
The buyback news came roughly a week after Netflix revealed that Reed Hastings, who co-founded the company and serves as its chairman, plans to depart in June, according to Reuters. Netflix has also indicated it intends to put approximately $20 billion toward film and television content over the course of 2026.