Netflix Q3 earnings beat expectations on paid user expansion
INTERNATIONAL - US online streaming giant Netflix Inc. said Wednesday that its revenue rose to $5.2 billion in the third quarter of 2019, up 31 percent year-on-year.
The company said it added 6.8 million paid users across the globe in the third quarter, increasing 12 percent year-over-year, which hit an all-time high record in the third quarter.
The figure was above the forecast of 6 million projected by Wall Street analysts.
During the three-month period from July to September, the company's average streaming paid memberships and average revenue per user grew 22 percent and 9 percent year-on-year respectively, the company stated in a statement.
The company has a total of 158 million paid subscribers in more than 190 countries and regions across the globe.
The gains for the quarter represented a recovery from the second quarter when Netflix witnessed a loss in customers at home, its largest single market, for the first time since 2011.
The Los Gatos, California-based media company posted net earnings of 1.47 dollars per share, or 665 million dollars, compared to 0.89 dollar per share during the same period of last year.
"We've improved the variety, diversity and quality of our content slate, member engagement has grown, revenue has increased, and we're able to further fund our content investment," said the company in its third quarter earnings report.
For the fourth quarter, Netflix expects its revenue to increase 30 percent year-on-year and hopes to increase its following by adding a total of 7.6 million global subscribers.