Netflix adds 3 MILLION new streaming subscribers. We all have (UNDER) WOOD.
Fuck yes! Grow, Netflix, grow! For you have given me a taste of House of Cards and I need more. I feel more confident with every new subscriber that I will be able to see my second season of the tasty show.
The Verge:
Netflix, the web’s top video rental service, reported first quarter earnings that were mixed. The company reported a net profit $2.6 million, or 5 cents a share, and finally had their first billion dollar quarter, bringing in $1.02 billion.
Typically, the most important statistic for the company is the number of subscribers it added. The past quarter was even more important as Netflix investors search for signs to determine how much value was generated by House of Cards, the political drama series starring actor Kevin Spacey, that cost Netflix $100 million. They didn’t beat there all time record, set last quarter. But Netflix had reason to be very happy as the company added 2 million new US streaming subscribers and 1 million new international streaming customers. Its profits also rose to $131 million and its margins crept above 20 percent.
Netflix’s bet on original content appears to be paying off with another new show, Hemlock Grove, as well. “Hemlock Grove was viewed by more members globally in its first weekend than was House of Cards and has been a particular hit among young adults,” said Netflix.
“Long term, we believe the value of our original series in driving acquisition and retention improvements will be borne out,” Netflix said in a statement, “as we add more seasons of already popular shows like House of Cards and further series. Harry Potter was not a phenomenon in book one, compared to later books in the series.”
Netflix’s stock closed trading today at $174.37, up $11 or 7 percent. In after-hours trading, Netflix shares skyrocketed up $33 or 19 percent and was still climbing as of this writing.
The company also announced an interesting new price tier. “A few members with large families run into our 2-simultaneous-stream limit. To best serve these members, we’re shortly adding a 4-stream plan, at $11.99 in the U.S., and we expect fewer than 1% of members to take it.”