Netflix

Netflix outpaces Q3 expectations, adds 5.3M new subscribers

As it did in its previous quarter, Netflix again outpaced its own expectations around subscriber growth and added 5.3 million new subscribers during the third quarter. The bulk of the new subscribers came from outside the U.S. Netflix added 4.45 million international subscribers during the third quarter and 850,000 new domestic subscribers. The company’s U.S. …

As it did in its previous quarter, Netflix again outpaced its own expectations around subscriber growth and added 5.3 million new subscribers during the third quarter.

The bulk of the new subscribers came from outside the U.S. Netflix added 4.45 million international subscribers during the third quarter and 850,000 new domestic subscribers. The company’s U.S. total marked the first time in the past three quarters that Netflix added fewer than 1 million new domestic subscribers, but it was well ahead of the 370,000 domestic subscribers Netflix added in the year-ago quarter.

All together Netflix now has 109.25 million total subscribers (with about 104 million paid memberships). Looking ahead, the company expects to add another 6.3 million subscribers during the fourth quarter.

While its forecast for the coming fourth quarter isn’t as large as its previous fourth-quarter forecasts, Netflix seemed to point toward its recent price increases as a potential culprit for driving down additions. However, the company focused on the imminent benefits of the price hike.

“Increased revenue over time will help us grow our content offering and continue our global operating margin growth,” the company wrote.

Source: Fiercecable