Netflix (NFLX) is expected to report first quarter results after the bell on Thursday after it lost the battle for the acquisition of Warner Bros. Discovery (WBD) to Paramount Skydance (PSKY) and raised its subscription prices.

The streaming giant is expected to report revenue of $12.17 billion, per Bloomberg consensus data. In the first quarter of last year, the company reported revenue of $10.54 billion.

Adjusted earnings per share are expected to come in at $0.76. In the same quarter a year ago, earnings were $0.66. The company issued a 10-for-1 stock split in mid-November.

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This is the first report since the company left the negotiating table following a contentious bidding contest to acquire Warner Bros. Discovery. Paramount SkyDance won the bid and agreed to pay for the breakup.

“Netflix has an incremental $2.8B to spend on content and ad stack improvements this year from its WB deal break-up fee, which we expect to extend its competitive lead,” Wedbush analyst Alicia Reese wrote in a note to clients. Warner Bros. shareholders will vote next week on the $110 billion offer.

As investors grew wary of the potential merger and the debt associated with the transaction, there was a sigh of relief when it fell through, sending shares higher.

“We see a cleaner Netflix story post-WBD merger break, as investors refocus around core and near-term fundamentals and seek evidence that Netflix can scale a massive $10B+ advertising business over the long term,” BMO Research Brian J. Pitz wrote in a note.

This is also the first earnings report since Netflix raised its subscription prices for the second time in just over a year, which Pitz believes will “contribute roughly $1.5B in incremental revenue in 2026 estimates, providing 3.3% growth from pricing alone.”

Netflix increased its ad-supported Standard plan by $1 to $8.99 per month and the Standard (ad-free) and Premium tiers by $2 to $19.99 and $26.99 per month, respectively.

The ability to do so is a sign of strength, Bank of America analyst Jessica Reif Ehrlich wrote in a note to clients.

“Given the overarching concerns regarding engagement over the last 12-18 months, we view these increases as a validator of Netflix’s confidence in their underlying strength and durability.”

The Street expects Netflix to surpass 331 million paid subscribers worldwide in the first quarter.

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Brooke DiPalma is a reporter for Yahoo Finance. Follow her on X at @BrookeDiPalma or email her at bdipalma@yahoofinance.com.