The latest financials from Netflix suggest the company is flat-lining a little, especially with the recent price hikes affecting confidence. But its CEO Reed Hastings is confidently looking to the future, with the promise that Netflix can “thrive on streaming only.”
Netflix Earnings Report
Netflix has released its latest earnings report, which covers the second quarter of the 2011 financial year. The main points of the Q2 2011 earnings report are as follows:
Revenue of $788.6 million, with earnings at $1.26 per share. The first is slightly down on expectations, the second slightly up. Netflix now has 24.59 million subscribers in the U.S., and 1 million in Canada. This is just about in line with expectations. In Q3 Netflix estimates it will add another 2 million subscribers to that total, lower than expected due to the fallout from the recent price hikes.
Overall, analysts are disappointed, and investors even more so. Shares in the company initially dropped a whopping 7 percent after the figures were released. However, CEO Reed Hastings sees this as nothing more than a slight bump in the road, with the future still a rosy one.
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