The company noted that it competes with a large set of activities beyond TV including TikTok and Fortnite. Netflix, which keeps much of its viewership data secret, also said it will release information more frequently and shift its main publicly reported metric to hours viewed, rather than the number of accounts that watched a title for at least 2 minutes. Revenue rose 16% to $7.5 billion.īefore the earnings report, Netflix shares had risen roughly 22% this year and were trading near record highs, but their gains lag behind the 54% increase in the Nasdaq. It will take one to two years to tell if that tactic leads to more paying subscribers, the company said.įor the quarter that ended in September, diluted earnings-per-share came in at $3.19, beating analyst expectations of $2.57. Netflix is trying new ways to attract customers overseas, including offering a free plan in Kenya. Industry experts believe the region may rival the United States and Canada - Netflix's largest market - in three to five years, said Third Bridge senior analyst Joe McCormack. Most new customer pickups in the quarter came from the Asia Pacific market, where Netflix now has 30 million subscribers. Shares of Netflix were close to even in after-hours trading at $641 following the earnings report.
It also expects a "more normalized" programming slate in 2022 spread throughout the year, "assuming no new COVID waves or unforeseen events," the company said in a quarterly letter to shareholders. Upcoming debuts include big-budget action flick "Red Notice" and a second season of fantasy drama "The Witcher." Netflix projected it will pick up 8.5 million new customers by year's end, ahead of industry forecasts of 8.33 million, as it releases a heavy lineup of new programming. The fervor around "Squid Game" also is expected to lift the current quarter. "Squid Game" merchandise is now on its way to retailers, Netflix said.
The series, made with a relatively small budget, shot to the top of Netflix viewing charts in 94 countries, kick-started sales of track suits and Vans sneakers, and kindled interest in learning Korean. On Tuesday, Netflix said a "mind-boggling" 142 million households had watched the dark drama about people who compete in a deadly competition to erase financial debt. 17 and surprised executives by becoming the streaming service's most-watched original series in its first month. Then, South Korean drama "Squid Game" debuted on Sept.