Netflix has announced its second quarter earnings with the following main highlights:
- The revenue for the quarter was at $1.64 billion
- EPS stood at $0.06
- 0.9 million new domestic subscribers were added
- 2.4 new international subscribers have been added.
This EPS is higher than the expectation of the Wall Street which had expected it to be $0.04. Overall very promising performance by Netflix which closed the quarter with a total of 42 million domestic and 23 million international subscribers.
The new addition of 3.3 million subscribers is quite impressive compared with 1.7 million during the previous year quarter. Rather it is doubling of the growth.
Netflix has been successful in adding new subscribers in domestic market even when it has a higher saturation. This is indicative of the potential the company has for international growth.
In comparison with previous year, the revenue saw a 20 percent growth. $78 million were earned from the DVD business.
The investors are happy with the subscriber growth in domestic market and abroad and also with the overall general financial performance. The stock is going to touch a new high in the coming days.