Netflix Inc. fell short of Wall Street expectations for the latest quarter, breaking a six-quarter streak of surpassing analysts’ profit forecasts, the California-based streaming giant said Tuesday.

The shortfall was largely driven by an unexpected $619 million (€533 million) expense tied to a tax dispute in Brazil. Despite the hit, Netflix reported revenue in line with forecasts, supported by a strong slate of original TV series and films that helped sustain subscriber engagement and boost advertising sales.

The results underscore the balancing act Netflix faces as it expands its advertising-supported tier while navigating regulatory and tax challenges in international markets.