Netflix said Tuesday it added nearly 19 million subscribers during the holiday season and ended last year with more than 300 million subscribers.
Company executives credited continued investment in shows and movies for helping the streaming giant power its growth, while also announcing it was raising prices in Argentina, Canada, Portugal and the United States.
The company said in a letter to investors, “As we continue to invest in programming and provide more value for our members, we will sometimes ask our members to pay a little more so that we can continue to offer Netflix.” And we can invest again to make it better.”
According to the company, Premium and Standard subscriptions in the United States will cost $2 per month, $25, and $18, respectively, while a standard ad-supported tier will cost $8 in one-dollar monthly increments.
In the final quarter of 2024, the streaming juggernaut said it made a profit of $1.87 billion on revenue of $10.25 billion, a double-digit increase from the same period last year.
Netflix shares jumped more than 14 percent to a peak of $993 in after-market trades.
“We’re entering 2025 with strong momentum, coming off record net additions in one year — 41 million — and strong growth again,” Netflix executives told investors.
He said Netflix is in a “leadership position” when it comes to engagement, with about two hours per paid member per day.
Netflix executives said, “Our business remains highly competitive with many formidable competitors in traditional entertainment and big tech.”
“We need to continue to improve all aspects of Netflix – more series and movies our members love, a great product experience, increased sophistication in our plans and pricing strategy that includes greater advertising capabilities – and live programming and games. Like developing into new areas.”
‘Squid Game’
Netflix finished last year with a strong lineup that included the second season of the global hit “Squid Game.”
The dystopian Korean horror story about a fictional, deadly game remains the most-watched Netflix TV series of all time.
“Squid Game”, an ultra-violent story exploring themes of division and inequality, was helped cement South Korea’s position as a global cultural superpower, along with the Oscar-winning film “Parasite” and K- Considered one of the most important works. Pop megastar bts.
The streamer said its ad-supported plans accounted for more than 55 percent of signups in the countries where they were launched, an increase of nearly 30 percent from the previous quarter.
According to Netflix, growing its advertising business is a top priority this year.
To spur faster growth, the company launched an ad-subsidized offering around the same time it banned password sharing at the end of 2023.
Looking ahead, Netflix forecasts revenue between $43.5-44.5 billion in 2025 and targets a healthy 29 percent operating margin.
The streaming service highlighted upcoming content, including new seasons of hit shows “Wednesday” and “Stranger Things.”
WWE professional wrestling programming will return for 52 weeks in the United States and NFL games will return on Christmas Day.
In the US, the company has begun offering some users joint packages with its one-time rivals, making itself available through joint subscriptions with Peacock and Apple TV.
While Netflix is seen as supremely dominating the video content market, Disney+ is still struggling after its launch in November of 2019 included a ton of new content from its blockbuster Marvel and Star Wars universes.
Netflix shares have surged 80 percent in the past year, outperforming both the S&P 500 and NASDAQ indexes.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
