SHALOM OLALEYE
Netflix has added 5.1 million new subscribers in the third quarter, surpassing Wall Street’s estimate by 1 million, the company reported on Thursday.
The streaming giant expects more growth in the coming months, particularly around the holiday season with the highly anticipated return of its hit Korean drama Squid Game.
The company’s stock rose 4.5% in early trading on Friday following the news, and 3% in after-hours trading on Thursday. Netflix executives expressed confidence in the company’s trajectory, stating,
We’ve delivered on our plan to reaccelerate our business, and we’re excited to finish the year strong.
In addition to subscriber growth, Netflix reported earnings per share of $5.40 for the third quarter, higher than the $5.12 analysts expected. Revenue also exceeded predictions, reaching $9.83 billion. The company’s total paid subscribers climbed to 282.7 million, surpassing estimates of 281.7 million.
The streaming service company has forecasted continued growth, with expected fourth-quarter revenue of $10.13 billion and a 2025 revenue range of $43 billion to $44 billion. The company’s leadership pointed to its strong content lineup and global appeal as key drivers of its recent success.