Netflix is under pressure to reassure investors about its growth strategy when it reports second-quarter results later on Thursday, as its ​user engagement has faltered amid growing competition from traditional media ‌players, YouTube and mobile viewing.

The streaming giant has shed over a fifth of its value this year due to doubts about its growth efforts, including an ad business ​that is still far from becoming a major revenue stream.

Here are ​more details:

  • The company is expected to report a 13.6 per cent rise ⁠in revenue to $12.59 billion, its slowest growth in over four quarters, ​while adjusted earnings per share will likely total 79 cents, according to analysts ​polled by LSEG.
  • The advertising business — seen as crucial to Netflix’s growth since the boost from its password-sharing crackdown and price hikes over the past two years fades — is expected ​to bring in $705.8 million in revenue.
  • “We had to lower our (advertising) forecast,” ​Emarketer analyst Ross Benes said, adding the ad business has not grown as strongly as ‌most ⁠analysts originally expected.
  • To draw in advertisers and boost engagement, Netflix has pushed into live events. CNBC reported that the company was exploring a bid for the 2030 and 2034 FIFA World Cup US rights, and in talks to ​acquire online film ​platform Letterboxd.
  • “The company ⁠has moved from disruption to dominance, and the challenge now is to sustain momentum from a much larger ​base,” PP Foresight analyst Paolo Pescatore said.
  • Bloomberg News reported earlier this ​month ⁠that Netflix viewers were less likely to return for later seasons, with hit shows such as “The Night Agent” and “Beef” losing roughly half or more of their ⁠audience ​after their first season.
  • Comcast’s (CMCSA.O) NBCUniversal spinoff has also ​fueled deal speculation, but some analysts expect Netflix to focus on smaller deals rather than ​another major acquisition.