Netflix is on the verge of reaching 100 million members, but missed its new subscriber forecast for its latest quarter.
In the first quarter the streaming service passed $2.5 billion in revenues and added another 5 million members. Netflix's services extend from $8 to $12 a month, with the most economical option at $10. "We are making good strides in improving our content offering to match local tastes in Asia, Middle East and Africa, but have much progress to make, like in Latin America a few years ago".
Ted Sarandos, chief content officer, pointed to the success of Terrace House, a Japanese reality television franchise.
While Q1 for Netflix fell below expectations, causing the company's shares to plunge, Q2 is shaping up to be a rocket.
Netflix says it has dropped because of shift of some of its best-selling shows to the second quarter.
On the subject of competition from Amazon, Netflix co-founder and CEO Reed Hastings said he isn't overly concerned, noting the "market is just so vast".
Second, with its growth in the saturating USA market steadily slowing down while its global growth continues apace after expanding its reach to 190 countries last year, Netflix is on course to have more customers outside its American home base than inside for the first time by the end of this year.
"They haven't shrunk", he said.
Since the Google-owned YouTube has a viewership of a billion hours every day.
"We're happy with the 41.3 percent lift in NFLX since last October, but continue to believe it's not too late for large-cap growth PMs to take new positions in what remains one of the only true large-cap growth stories in Media", the firm said. Other cable channels also are contributing internet-only benefits as more viewers, particularly younger people, avoid traditional TV bundles and subscribe to streaming services preferably. The company also reported that Dave Chappelle: Collection 1 was its most viewed comedy special ever and that there is a wide interest in Adam Sandler's films on the platform as well.
"Additionally, investors ask us about Amazon's move into NFL football", Hastings wrote. The firm earned $2.64 billion during the quarter, compared to analyst estimates of $2.64 billion.
Net income rose to $178 million, or 40 cents per share, from $28 million, or 6 cents per share.