• Investing
  • Stock
Round Table Thoughts
  • Economy
  • Editor’s Pick
Home Editor's Pick Netflix shares soar as company reports surging revenue, tops 300 million subscribers
Editor's Pick

Netflix shares soar as company reports surging revenue, tops 300 million subscribers

by January 22, 2025
by January 22, 2025 0 comment
Share
0
FacebookTwitterPinterestWhatsapp

Shares of Netflix soared more than 13% Tuesday after the company posted fourth-quarter results that beat on the top and bottom lines.

The company surpassed 300 million paid memberships during the quarter, adding a record 19 million subscribers. Netflix said the growth was driven by its content slate, improved product and typical fourth-quarter seasonality.

The company also shared that including “extra member accounts,” its global audience is estimated to be exceed 700 million.

Here’s how Netflix performed for its most recent quarter, ended Dec. 31, compared with Wall Street estimates:

Earnings per share: $4.27 vs. $4.20, according to LSEG

Revenue: $10.25 billion vs. $10.11 billion, according to LSEG

Paid memberships: 301.63 million vs. 290.9 million, according to StreetAccount

Net income for the period was $1.87 billion, or $4.27 per share, up from $938 million, or $2.11 per share, during the same quarter a year earlier.

Revenue in the fourth quarter jumped 16% year-over-year, reaching $10.25 billion, higher than the $10.11 billion Wall Street had predicted.

For the full year 2025, Netflix raised its revenue expectations to a range of $43.5 billion to $44.5 billion, around $500 million higher than its previous forecast to reflects improved business fundamentals and the expected carryover benefit of its stronger-than-expected fourth quarter performance.

The fourth quarter was the last for which Netflix will report quarterly paid subscriber counts, as previously announced. Instead, it will start reporting a bi-annual “engagement report” alongside its second- and fourth-quarter releases.

The streamer on Tuesday touted the success of its fourth-quarter slate, which included the release of season 2 of the hit series “Squid Game” as well as live sporting events like the record-breaking Jake Paul and Mike Tyson boxing match and National Football League games on Christmas Day.

This year, the company said it plans to improve its core business with more series and films, enhance its product experience and continue to grow its ads business. Netflix is expected to delve further into the live event space and games, as well.

The company also has the return of “Strangers Things” and “Wednesday,” two of its biggest hits, ahead for 2025. Additionally, the streamer will release a collection of new films from top directors and actors including Daniel Craig and Rian Johnson’s third “Knives Out” film, a Russo Brothers project called “The Electric State” starring Millie Bobby Brown, “Happy Gilmore 2” with Adam Sandler and a new take on Frankenstein from Guillermo del Toro.

“We’re fortunate that we don’t have distractions like managing declining linear networks and, with our focus and continued investment, we have good and improving product/market fit around the world,” the company said in its earnings report Tuesday.

Netflix also announced it would raise prices on some streaming tiers between $1 and $2 per month.

Netflix’s cheaper, ad-supported tiers accounted for more than 55% of sign-ups in countries where the option is offered, the company said. Netflix also noted that memberships on its ad-supported plans grew around 30% quarter-over-quarter.

“We’re on track to reach sufficient scale for ads members in all of our ads countries in 2025,” the company said. “A top priority in 2025 is to improve our offering for advertisers so that we can substantially grow our advertising.”

This post appeared first on NBC NEWS
You Might Also Like
  • Federal Reserve launches FedNow instant payment service that could bypass Venmo and PayPal
  • Applebee’s owner plots turnaround to lure back fast-food customers and home cooks
  • Affluent Americans are driving U.S. economy and likely delaying need for Fed rate cuts
  • UAW workers overwhelmingly vote to authorize strikes at GM, Ford, Stellantis
Share
0
FacebookTwitterPinterestWhatsapp

previous post
Goldman Sachs rolls out an AI assistant for its employees as artificial intelligence sweeps Wall Street
next post
Cisco Systems’ Stock Keeps Hitting All-Time Highs: Investment Tips to Maximize Your Success

You may also like

Amazon and Nvidia say AI data center demand isn’t slowing

April 24, 2025

Sam Bankman-Fried sentenced to 25 years in prison for orchestrating...

March 29, 2024

Capital One and Discover merger approved by Federal Reserve

April 19, 2025

Millennials reimagine retirement: ‘The end game might not be …...

February 4, 2025

Even at $8M per Super Bowl commercial, ad executives say...

February 8, 2025

California jury finds Tesla Autopilot did not fail in crash...

April 23, 2023

Sports streaming venture from Fox, Disney and Warner Bros. priced...

August 1, 2024

Why orange juice is so expensive

August 1, 2024

Google lays off hundreds of ‘Core’ employees, moves some positions...

May 3, 2024

Trump tariffs, tax cuts and interest rates likely to fuel...

May 2, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Krispy Kreme stock plunges after doughnut chain pauses McDonald’s rollout, pulls outlook

      May 8, 2025
    • Don’t Buy Robinhood Stock… Until You See This Chart Setup

      May 8, 2025
    • UnitedHealthcare sued by shareholders over reaction to CEO’s killing

      May 8, 2025
    • The Unpredictable Stock Market: How to Make Sense of It

      May 8, 2025
    • AMD CEO calls China a ‘large opportunity’ and warns against strict U.S. chip controls

      May 7, 2025

    Popular Posts

    • 1

      Trump-era China sanctions ended by Biden may be...

      June 27, 2024 2,630 views
    • 2

      Walz’s honeymoon with China gets fresh scrutiny as...

      August 9, 2024 2,339 views
    • 3

      Biden appointee played key role in recruiting Chinese...

      June 25, 2024 2,320 views
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful...

      July 10, 2024 2,302 views
    • 5

      Harris VP pick spent years promoting research facility...

      August 29, 2024 2,186 views

    Categories

    • Economy (7,009)
    • Editor's Pick (2,066)
    • Investing (538)
    • Stock (2,530)

    Popular Posts

    • 1

      Trump-era China sanctions ended by Biden may be revived under new House GOP bill

      June 27, 2024
    • 2

      Walz’s honeymoon with China gets fresh scrutiny as Harris camp blasts ‘lying’ critics

      August 9, 2024
    • 3

      Biden appointee played key role in recruiting Chinese businesses to Delaware: ‘Longtime friends’

      June 25, 2024
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful of Chinese spy threats

      July 10, 2024
    • 5

      Harris VP pick spent years promoting research facility that collaborated with ‘Chinese military company’

      August 29, 2024

    Latest News

    • Krispy Kreme stock plunges after doughnut chain pauses McDonald’s rollout,...

      May 8, 2025
    • Don’t Buy Robinhood Stock… Until You See This Chart Setup

      May 8, 2025
    • UnitedHealthcare sued by shareholders over reaction to CEO’s killing

      May 8, 2025

    Categories

    • Economy (7,009)
    • Editor's Pick (2,066)
    • Investing (538)
    • Stock (2,530)

    Disclaimer: RoundTableThoughts.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 RoundTableThoughts.com. All Rights Reserved.

    Round Table Thoughts
    • Investing
    • Stock
    Round Table Thoughts
    • Economy
    • Editor’s Pick

    Read alsox

    IRS has collected more than $520M...

    January 13, 2024

    Regulators move to protect all deposits...

    March 16, 2023

    Prodded everywhere to tip, Americans often...

    November 18, 2023
    Sign In

    Keep me signed in until I sign out

    Forgot your password?

    Password Recovery

    A new password will be emailed to you.

    Have received a new password? Login here