CAPE TOWN – Netflix on Monday released its earnings results for the final quarter of 2018.
Netflix said in the report: "We grew annual revenue 35% to $16 billion in 2018, and nearly doubled operating profits to $1.6 billion. Fueling this growth was our high member satisfaction, which propelled us to finish 2018 with 139 million paying memberships, up 9 million from the quarter start and up 29 million from the beginning of the year."
In 2018, the service added 29 million memberships throughout the year with the total paid-subscriber at 139 million.
Annual revenue for the group grew 35 percent in 2018 to $16 billion and operating profits climbing to $1.6 billion.
In the first quarter of 2018, there were 4.48 million free trials active but this grew in the 4th quarter to 7.13 million.
For the first quarter of 2019, Netflix forecasts that it will add another 10 million subscribers.
As for content, Netflix says it is doing well in the realm of film.
“We are beginning to have our original movie offering mirror the success of our series offering for consumer enjoyment,” Netflix wrote.
The firm also revealed that it will be creating more interactive projects such as Black Mirror: Bandersnatch in the future.
In the report, the company mentions price increases stating that it is done to improve the overall Netflix experience.
"We change pricing from time to time as we continue investing in great entertainment and improving the overall Netflix experience.We want to ensure that Netflix is a good value for the money and that our entry price is affordable. We just increased our US prices for new members, as we did in Q4 in Canada and Argentina, and in Japan in Q3. The new pricing in the US will be phased in for existing members over Q1 and Q2, which we anticipate will lift ASP," said Netflix.
BUSINESS REPORT ONLINE