Net­flix shares pop as it hits 125 mil­lion global sub­scribers

The Daily Telegraph - Business - - Technology Intelligence - By Han­nah Boland

NET­FLIX’S share price surge showed no sign of let­ting up last night, af­ter it re­vealed a fur­ther seven mil­lion peo­ple had signed up to its stream­ing ser­vice in the first three months of 2018, breez­ing past al­ready lofty ex­pec­ta­tions.

Net­flix has seen its share price rocket in the year-to-date, up more than 60pc at the close of play yes­ter­day, prompt­ing some con­cern that it could be in for a heavy fall should the re­sults dis­ap­point.

How­ever, Net­flix ticked up more than 8pc af­ter the close yes­ter­day, tak­ing its value above $140bn (£97bn) in af­ter-hours trad­ing, as it said more peo­ple con­tin­ued to sign up to its ser­vice.

It now has 125 mil­lion sub­scribers glob­ally, de­spite it hav­ing hiked prices for most of its cus­tomers late last year.

The bulk of the subscriber growth in the three months to the end of March came from its in­ter­na­tional seg­ment, where it added 5.46 mil­lion sub­scribers, com­pared to a mar­ket fore­cast of 4.9 mil­lion.

In the US, it signed up 1.96 mil­lion more peo­ple in the three month pe­riod, ahead of the 1.45 mil­lion fore­cast. This, com­bined with the 14pc rise in av­er­age sell­ing price of its mem­ber­ships, pushed its rev­enue up 40pc year on year, to $3.7bn.

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