Netflix Gained 8.3 Million Subscribers in Q4 2017
Ron Perillo / 2 months ago
The latest Netflix quarterly report is now out and it reveals some impressive numbers for the streaming giant. Despite the price hike, they have managed to increase their subscriber base by 8.3 million users. This more than makes up for those who have cancelled the service, and exceeds both analysts and the company’s expectations.
Netflix’ forecast initially calls for a growth of 1.25 million subscribers in the U.S. and another 5.05 million internationally. The final Q4 tally however, puts the final numbers at 1.98 million in the U.S. and another 6.36 million internationally. In Q4 2016, their total subscriber count was at 93.8 million, now after Q4 2017 it stands at 117.58 million.
Netflix Revenues Increased as Well
More subscribers translates to more money of course. Comparing Q4 2016 to Q4 2017 revenue in year-over-year change results in a 33% growth from $2.48 billion to $3.29 billion. Their year-over-year net income also saw a 178% increase from $187 million to $559 million.
The health of the company now allows them to increase their budget for advertising to $2 billion, up from $1.37 billion from last year. This will also allow them to invest in bigger budget content. Netflix attributes the growth to strong interest in original content. Even the critically panned Bright (2017) starring Will Smith drew 11 million views within just its first three days. After a month, it has become their most viewed title ever according to CEO Reed Hastings.