A Netflix it won 18.9 million subscribers no last quarter of 2024surpassing Wall Street forecasts, with live sporting events and the return of its popular South Korean series “Round 6” attracting a record number of new customers, the company said on Tuesday (21).
The streaming giant said that as it continues to invest in content that its members value, it will increase service prices for most plans in the United States, Canada, Portugal and Argentina.
Netflix shares rose around 10% in North American post-market trading, increasing its market value by almost US$40 billion.
Netflix said its fourth-quarter schedule exceeded its internal expectations, with the and two of the most-streamed contests in league history.
The service also benefited from , which the company said was on track to become one of its most-watched original series.
Netflix has the lowest cancellation rate among subscription streaming services, recording 1.8% in December, according to research group Antenna.
This quarter also marks the last time Netflix reports its subscriber additions, as the company will shift to emphasizing other performance metrics such as revenue and profit — a shift analysts attribute to slower subscriber growth.
The company reported earnings per share of $4.27, beating Wall Street’s forecast of $4.20 per share, according to the average forecast of 34 analysts. Annual operating revenue exceeded US$10 billion for the first time in the company’s history.
Netflix’s revenue rose 16% year-on-year to $10.2 billion, compared with Wall Street estimates of $10.1 billion for the quarter, according to LSEG data.
“We enter 2025 with strong momentum,” Netflix said in its note to investors, saying it added a record 41 million subscribers in 2024 and reaccelerated growth.
The company revised its guidance and now forecasts revenue of $43.5 billion to $44.5 billion in 2025, an increase of half a billion dollars from the previous projection. The updated guidance reflects improved business fundamentals, the company said.
