What’s Contributed to Netflix’s Astronomical Growth?
By Movieguide® Contributor
Netflix is celebrating a great third quarter, reporting numbers way above Wall Street’s predictions.
The streamer reported a Q3 gain of “5.1 million subscribers from the previous quarter,” Deadline reported, adding, “Total revenue of $9.825 billion clipped analysts’ consensus expectation for $9.77 billion.”
Earnings per share came up to $5.40, with a total subscriber tally of 282.72 million — Wall Street had forecast $5.12 shares and a subscriber tally of 281.5 million.
CNBC noted that a big component of Netflix’s growth was the ad-supported tier of the streaming service, writing that sign-ups “jumped 35% quarter over quarter.”
“While Netflix doesn’t expect ads to become its primary growth drive until 2026, it said the ad-tier accounted for over 50% of sign-ups in the third-quarter in countries where it’s available,” the outlet continued.
Another part of their success? A series of high-performing original content put out in the third quarter, including season 4 of EMILY IN PARIS, THE PERFECT COUPLE, BEVERLY HILLS COP: AXEL F, A GOOD GIRL’S GUIDE TO MURDER, and NOBODY WANTS THIS.
NOBODY WANTS THIS is the streamer’s most recent success and has already been renewed for a second season. The first three episodes of the show received a favorable review from Movieguide®.
READ MORE: NOBODY WANTS THIS: Episodes 1.1 to 1.3
Netflix is planning on a strong fourth quarter as well. In a statement about finishing out the year, management said, “We’re excited to finish the year strong with a great fourth-quarter slate, including SQUID GAME season 2, the Jake Paul/Mike Tyson fight and two NFL games on Christmas Day.”
The streamer also predicted paid net additions to increase in the fourth quarter.
All this success doesn’t mean Netflix is pumping the brakes on trying to find new avenues of profit, though. It was recently rumored the streaming platform will increase subscription prices in an effort to keep this winning streak going.
READ MORE: UGH … Analysts Say Netflix Will Raise Prices Again
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