Netflix: At home abroad
As Netflix sees U.S. subscriber growth slowing down, international growth is picking up the slack.
While the company added 370,000 U.S. subscribers during the July-September quarter, that’s far less than the 880,000 it added in the same quarter last year.
Outside the U.S., however, the company added 3.2 million subscribers, more than analysts expected. Netflix operates in 189 countries, or 130 more than a year ago. Netflix now has 86.7 million subscribers, 45 percent of whom are outside the U.S.
While investors sent shares tumbling in the second quarter after Netflix missed forecasts, they reacted positively this time, sending the stock up nearly 30 percent since the results came out.
Analyst John Blackledge says part of the subscriber strength is due to the success of original shows like the horror series “Stranger Things.” He adds, “Original content is transforming the business, which should continue in 2017.”