Netflix profit leaps 68 percent for Q1

Netflix has beaten its own earnings forecast after announcing a 68 percent rise in profits in the first quarter. The results are due to the company attracting many more customers than it had expected to. Netflix' net income rose 68 percent to $22.4 million, or 37c per share, from $13.3 million, or 21c, in the same period from the previous year, as sales rose 21 percent to $394.1 million and subscribers jumped 25 percent to 10.31 million.

In the last year, Netflix has brought its movie streaming service to Microsoft's Xbox 360 console, LG and Samsung Blu-ray players and TiVo digital video recorders. "First-quarter results showed strong momentum driven by consumer attraction to our unlimited rental proposition," Netflix CEO Reed Hastings said in the statement.

Netflix estimates that subscribers for its DVD-delivery service will peak between 2013 and 2018. It has a digital inventory of over 12,000 titles so far.

Written by: James Delahunty @ 23 Apr 2009 20:30

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4 comments

KillerBug

I wonder how much of that money was bribes from microsoft to keep the service off of PS3.

24.4.2009 05:10 #1

puterman

The way Blockbuster is screwing all their patrons is also helping to fuel Netflix increase.

24.4.2009 11:54 #2

korgoth3

you know earnings were actually 4 cents a share lower than expected, thats why the stock has been falling the last couple days after the numbers came out.

24.4.2009 17:44 #3

Mez

Agreed, Block Buster is in trouble. Netfix is providing a better internet service and Red Box is beating up their brick and morter stores.

Their solution is to cut corners they are hoping not too many will leave. I for one, can't see why I should continue. I have been doing Netfix and BB for 7 years. I have pretty much seen al the old stuff and the Red Box has the new stuff.

27.4.2009 08:51 #4

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