Netflix tumbles as Hastings steps aside, signaling a changing of the guard

Netflix shares dropped over 9% after a strong revenue beat and a pivotal leadership transition: co‑founder Reed Hastings said he will step down as chairman when his term ends in June, handing day‑to‑day control to co‑CEOs Greg Peters and Ted Sarandos. The report showed about $12.25 billion in quarterly revenue and $5.28 billion in profit, helped by a $2.8 billion termination fee related to Netflix’s shelved Warner Bros. Discovery deal, a bid war that ultimately favored Paramount Skydance. Management stressed growth in advertising and new bets such as live sports, podcasts, and games as streaming competition intensifies.