Netflix's first-quarter subscriber additions misses estimates

Image
Reuters
Last Updated : Apr 18 2017 | 2:07 AM IST

(Reuters) - Popular video streaming service Netflix Inc added fewer subscribers than analysts' had estimated, both internationally and in the United States, in the first quarter, sending its shares down about 3 percent after the bell on Monday.

Netflix, whose original shows include the award-winning British drama "The Crown" and "A Series of Unfortunate Events", added 3.53 million subscribers outside the United States in the quarter ended March 31. (http://bit.ly/2puJ1Yt)

Analysts on average had estimated 3.68 million additions, according to research firm FactSet StreetAccount.

In the United States, the company added 1.42 million subscribers, compared with analysts' average estimate of 1.50 million.

The Los Gatos, California-based company said revenue rose 34.7 percent to $2.64 billion in the quarter.

Net income rose to $178 million, or 40 cents per share, from $28 million, or 6 cents per share.

Netflix, said it expects to add 600,000 subscribers in the United States in the current quarter, above the FactSet estimate of 364,000.

In international markets, Netflix expects to add 2.60 million subscribers, above the average estimate of 2.09 million.

Up to Monday's close, Netflix's stock had risen nearly 19 percent in 2017, outperforming the roughly 5 percent gain in the broader S&P 500 index .

(Reporting by Narottam Medhora in Bengaluru; Editing by Savio D'Souza)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Apr 18 2017 | 1:51 AM IST

Next Story