this post was submitted on 20 Jul 2023
0 points (50.0% liked)

Television

4570 readers
57 users here now

founded 1 year ago
MODERATORS
NewsAutoMod@lemmy.world
automodbeta@lemmy.world
0
Netflix earnings down (www.msn.com)
submitted 1 year ago by reddig33@lemmy.world to c/television@lemmy.world
10 comments fedilink hide all child comments
 

All the naysayers were correct. Netflix is losing money and subscribers in North America.

Netflix did add subscribers, but not in the markets where they cracked down on password sharing. They added subscribers in countries where they don’t charge very much for subscriptions. So they didn’t make much money from the new subs.

you are viewing a single comment's thread
view the rest of the comments
[–] reddig33@lemmy.world 1 points 1 year ago* (last edited 1 year ago)

Interestingly, the MSN version of the Reuters story is missing the info about subscriber growth coming from the cheaper markets. I originally read the Reuters piece on Apple News so I tried to find a public link to post here. The important missing pieces are:

  • weaker-than-expected revenue forecast for revenue in the third quarter
  • “While the company added subscribers, it said average revenue per member fell 3% from a year earlier. That was partly because many of the new sign-ups came in countries where Netflix charges lower prices.”
  • “Netflix said its advertising tier remained a small part of its membership base and that current ad revenue is not material.” Cash flow will be up because production is down due to the strike.

Here’s the complete Reuters story…

https://www.reuters.com/technology/netflix-tops-wall-street-forecasts-with-password-limits-ad-option-2023-07-19/