Netflix generated $5.09 billion in free cash flow during its latest quarter. The company maintained minimal capital expenditure through its capital-light streaming model.
Disney reported its first profit for its streaming division. The Experiences segment achieved record revenues.
The company spent nearly $2 billion on capital expenditures for theme parks and cruise ships. This heavy investment contributed to a decline in overall net income.
Netflix maintains high operating margins as a pure-play streaming entity. Disney generates higher total revenue but faces lower margins due to physical asset costs and legacy media divisions.