Netflix sees record results with over 104 million global subscribers

Robert Hutchins

By Robert Hutchins

July 18th 2017 at 10:13AM
UPDATED July 18th 2017 at 11:53AM
Netflix sees record results with over 104 million global subscribers

According to the BBC, the US company has said that the better than expected number was a sign that investment in new shows and movies was paying off.

Shares in the video streaming platform have surged since Monday when the company reported a record 104 million subscribers.

According to the BBC, the US company has said that the better than expected number was a sign that investment in new shows and movies was paying off.

Netflix has produced shows such as House of Cards and The Crown, while the firm’s boss Reed Hastings has said the result was the ‘rewards of doing great content.”

Netflix shares rose more than ten per cent in after-hours trading in New York after announcing its second quarter results.

The firm said it added about 5.2 million members during the quarter, mostly from overseas. International members now account for about half of its subscriber total.

The company also said that it expected international members to help[ boost profits for the year – a first for that part of the business.

The growth helped Netflix to report a 32 per cent rise in second quarter revenues to $2.8bn, and it expects revenues to reach nearly $3bn in the third quarter.

Netflix has said that creating new content was critical to competing against other online rivals such as Amazon and YouTube, as well as broadcast television networks.

Netflix also said that generating new content also meant streaming services were expanding the size of the overall market.

“The largely exclusive nature of each service’s content means that we are not direct substitutes for each other, but rather complements. The shift from linear TV to on-demand viewing is so big and there is so much leisure time, many internet TV services will be successful.”