Netflix shares soar in response to announcement that the company has added 2.3m US subscribers in the last quarter
The video streaming company say they are planning “substantial European expansion” later this year
Thursday 23 January 2014
Shares of Netflix soared to touch a record high in after-hours trading on Wednesday after the company said it added 2.3 million US subscribers in the fourth quarter of 2013, and expects another 2.25 million to sign up in the first quarter of this year.
Netflix also reported a profit that beat many Wall Street expectations. The video streaming company reported net income of $48 million for the quarter, up from $8 million a year ago.
Earnings-per-share were 79 cents, well above the 66 cents average forecast of analysts surveyed by Thomson Reuters.
“We expect this momentum to continue in Q1 with net additions of 2.25 million to exceed the prior year by about 11 percent,” Netflix said.
Controversially, Netflix said it was considering changes to its pricing structure to possibly introduce three different tiers. Some Netflix viewers currently share accounts without paying extra.
“If we do make pricing changes for new members, existing members would get generous grandfathering of their existing plans and prices, so there would be no material near-term revenue increase from moving to this potential broader set of options,” said Netflix in its quarterly statement.
“We are in no rush to implement such new member plans and are still researching the best way to proceed.”
Netflix also said it plans to embark on a “substantial European expansion” later this year.
- 1 Student jailed for hacking University of Birmingham computers to improve his grades
- 2 Smartphones are making children borderline autistic, says psychiatrist
- 3 Company breaks open Apple Watch to discover what it says is 'planned obsolescence'
- 5 The most powerful passports in the world
Student jailed for hacking University of Birmingham computers to improve his grades
Smartphones are making children borderline autistic, says psychiatrist
Nepal earthquake: More than 1,100 killed across four countries and in Mount Everest avalanche
Royal baby: Live updates as the wait continues for Duchess of Cambridge's second child
Hermann Goering's daughter fails to reclaim items looted by Nazi deputy during WWII
The sickening truth about food banks that the Tories don't want you to know
Migrant boat disaster: Ukip candidate mocks victims in sickening Twitter post
Nigel Farage wants the BBC to stop making programmes like Doctor Who, Strictly Come Dancing, and Top Gear
Global warming: Scientists say temperatures could rise by 6C by 2100 and call for action ahead of UN meeting in Paris
General Election 2015: Britain would become a 'communist dictatorship' under Ed Miliband and Nicola Sturgeon, claims wife of Michael Gove
Rupert Murdoch berated Sun journalists for not doing enough to attack Ed Miliband and stop him winning the general election
iJobs Money & Business
£24000 - £26000 per annum + benefits : Ashdown Group: A highly successful, glo...
£50000 - £55000 per annum: Ashdown Group: Business Analyst - Financial Service...
£18000 - £23000 per annum + OTE £45K: SThree: At SThree, we like to be differe...
£20000 - £25000 per annum + competitive: SThree: Did you know? SThree is the o...