Netflix recently released its financial results for the first quarter of 2024, reporting revenues of $9.37 billion, surpassing analysts’ expectations of $9.27 billion. This marked an increase from $8.16 billion in the same quarter last year. Earnings per share were reported at $5.28, exceeding expectations of $4.52 per share, representing a 56% jump from the previous year.
Despite the positive results, Netflix’s stock fell more than 3% in late trading following the announcement. The company also provided a less-than-ideal forecast for the second quarter, with expected revenues of $9.49 billion, slightly below analysts’ projections of $9.53 billion. Earnings per share are forecasted at $4.68, above the expected $4.54 per share.
A key focus for investors is Netflix’s subscriber numbers, which increased from 260.8 million to 269 million, surpassing expectations of 5 million new subscribers with an addition of 9 million. The company has been addressing issues such as password sharing among users by implementing new mechanisms to detect and curb unauthorized usage.
Netflix’s stock has seen a 30% rise since the last reports, currently standing at $610 per share. The company has shown resilience in the face of competition and challenges, with a market value of $267.24 billion. Investors are also eagerly awaiting news of Netflix’s collaboration with WWE in 2025, signaling a push into live sports content to attract more users.
The company’s strategic decisions and positive financial results have instilled confidence in investors, leading to its market performance and overall growth. In a bid to maintain a diverse and respectful discourse, the Globes system ensures inappropriate content is filtered out to uphold the ethical standards of communication on the platform.