Netflix sends 81% of Korea revenue to US parent, report shows
Netflix generated more than 1 trillion won ($730 million) in revenue in Korea last year, but sent 81 percent of that sum to its U.S. parent company, leaving its Korean operation with an operating profit of just 20.3 billion won, according to an analysis of its financial statements. Rep. Han Jun-ho of the Democratic Party of Korea, a member of the National Assembly’s Science, ICT, Broadcasting and…
Netflix extracted an astounding 81% of its revenue generated within South Korea, returning the funds to its parent company in the United States, according to an examination of the company's financial records. This decision left the domestic Netflix operation with a modest operating profit of merely 20.3 billion won, as reported by an analysis conducted by Rep. Han Jun-ho, a member of the National Assembly's Science, ICT, Broadcasting and Communications Committee.
The audit report for Netflix Services Korea revealed that the company's domestic revenue surged to 1.0542 trillion won in 2025, a substantial increase from 631.7 billion won in 2021. This trend underscores a significant disparity between Netflix's financial growth and the financial predicaments faced by local streaming platforms, such as Tving, which reported an operating loss of 69.8 billion won last year, and Wavve, which incurred a loss of 12.2 billion won.
In addition to its dominance in generating revenue, Netflix also held a commanding position in paid streaming subscriptions, with a usage rate of 46.7%, compared to Tving's 13%, according to the Korea Media and Communications Commission's 2025 survey on broadcast media usage.
Written by urgent.news from The Korea Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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