Netflix reversed its recent subscriber losses with a summertime gain that management is hoping to build upon with the upcoming launch of a cheaper version of the video streaming service that will include ads for the first time.
The Los Gatos, California, company disclosed Tuesday that it picked up 2.4 million subscribers during the July-September period, a comeback from a loss of 1.2 million customers during the first half of the year amid stiffer competition and soaring inflation that’s squeezing household budgets.Netflix now boasts 223 million subscribers, enabling the company to at least temporarily reclaim the mantle as the world’s largest video streaming service. Walt Disney Co.
“After a challenging first half, we believe we’re on a path to reaccelerate growth,” Netflix predicted in a shareholder letter accompanying the third-quarter results.The uptick in subscribers also helped Netflix earn $1.4 billion, or $3.10 per share, a 4% dip from the same time last year. Revenue climbed 6% from last year to $7.93 billion. The subscriber gains, earnings per share and revenue all topped analyst projections compiled by FactSet.
Netflix’s shares surged more than 14% after the latest numbers came out. Even so, the stock has still lost more than half its value so far this year, reflecting worries that Netflix’s best days have past.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Netflix rebounds from recent subscriber losses with 3Q gainSAN FRANCISCO (AP) — Netflix reversed its recent subscriber losses with a summertime gain that management is hoping to build upon with the upcoming launch of a cheaper version of the video streaming service that will include ads for the first time.
Read more »
Netflix snaps streak of subscriber declines and beats on earnings, stock jumps 15%Netflix added more than 2 million subscribers after two consecutive quarterly declines, sending its shares more than 10% higher in after hours. $NFLX announced third-quarter earnings of $3.10 a share, down from $3.16 a share a year ago:
Read more »
Netflix Adds 2.4 Million Subscribers After Months Of DeclinesNetflix reported losing 200,000 subscribers in April, and another 970,000 in July.
Read more »
Netflix Adds 2.4M Subscribers in First Gain of the YearThe streaming giant, which hit 223 million global paid subscribers, said it will stop sharing paid sub guidance beginning in next quarter as it redirects its focus toward revenue.
Read more »
BofA profits fall as bank sets aside money for downturnBofA put $378 million into its loan-loss reserves this quarter — a similar level to Citigroup and Wells Fargo. These reserves are designed to cushion banks against potential bad loans when economies turn downward.
Read more »
Netflix crushes expectations across the board, adds 2.41 million subscribersNetflix reported third-quarter earnings after the bell. Here are the results.
Read more »