Netflix Inc. Comparative Financial Statements

Income Statement for Years Ended December 31, 2021, 2022, 2023

• Revenue: $29,697, $31,614, $33,755
• Cost of Revenue: $16,013, $17,029, $18,203
• Gross Profit: $13,684, $14,585, $15,552
• Operating Expenses: $8,432, $9,030, $9,679
• Operating Income: $5,252, $5,555, $5,873
• Interest Expense: $768, $789, $812
• Income Before Tax: $4,484, $4,766, $5,061
• Income Tax Expense: $902, $950, $1,010
• Net Income: $3,582, $3,816, $4,051

Balance Sheet as of December 31, 2021, 2022, 2023

• Assets
  • Current Assets: $8,432, $9,354, $10,291
  • Property, Plant, Equipment, Net: $1,225, $1,342, $1,465
  • Intangible Assets: $3,005, $3,127, $3,256
  • Total Assets: $12,662, $13,823, $15,012
• Liabilities and Equity
  • Current Liabilities: $5,738, $6,002, $6,314
  • Long-Term Debt: $8,322, $8,653, $9,006
  • Shareholders' Equity: $(1,398), $(832), $(308)
  • Total Liabilities and Equity: $12,662, $13,823, $15,012

Requirements

1. Calculate the gross profit margin for each year.
2. Determine the operating income as a percentage of revenue for each year.
3. Compute the debt to equity ratio for each year.
4. Assess the return on assets for each year.