Netflix delivered mixed results in the first quarter, beating Wall Street analysts’ estimates for earnings per share but underperforming in other key categories.
Wall Street analysts’ consensus expectation was earnings per share of $2.86, revenue of $8.18 billion and earnings from 2.26 million net paying subscribers. Netflix reported earnings per share of $2.88, revenue of $8.16 billion and subscriber growth of $1.75 million.
Netflix’s numbers herald an expected mixed earnings season for media and technology companies, many of which are still reeling from weak advertising and economic headwinds at the start of the year. In the coming days, Comcast, Spotify, Roku, Meta and Alphabet will report financial data.
The results reflect the first full quarter in which Netflix’s cheaper, ad-supported tier was available in about a dozen global territories. The company has made launching in 2022 its top priority and is racing to launch in November.
A key metric found in previous quarterly reports is missing: a forecast for the number of subscribers in the next quarter. The company dropped that guidance in late 2022, allowing shares to move around often in after-hours trading.
The quarterly report also marks two more milestones in the streaming pioneer’s quarter-century-long history. This is the first time that co-founder and former CEO Reed Hastings has not participated in the video interview, joining other top executives to answer analyst questions. A few months ago, he transitioned to the role of Executive Chairman, with Greg Peters promoted to co-CEO to lead the company alongside Ted Sarandos.
There is more to come
Source: Deadline
Elizabeth Cabrera is an author and journalist who writes for The Fashion Vibes. With a talent for staying up-to-date on the latest news and trends, Elizabeth is dedicated to delivering informative and engaging articles that keep readers informed on the latest developments.
