Netflix (NFLX) released its second-quarter earnings report, causing a brief dip in the stock price during after-hours trading due to a revenue outlook that fell short of Wall Street’s expectations for the current quarter. However, investor sentiment shifted positively as the company announced a significant increase in subscribers and exceeded revenue projections.
In Q2, Netflix saw revenue reach $9.56 billion, marking a 16.8% growth from the same period last year. The company’s strategic initiatives, such as cracking down on password sharing, introducing an ad-supported tier, and implementing price increases on select subscription plans, contributed to this growth. Analysts had anticipated revenue to be $9.53 billion.
For the third quarter, Netflix forecasted revenue of $9.73 billion, slightly below the consensus estimate of $9.83 billion. Despite this, the company raised its full-year 2024 revenue growth forecast to 14% to 15%, up from the previous range of 13% to 15%. Additionally, it anticipates improved operating margins for the full year.
2024-07-18 16:37:13
Originally posted on finance.yahoo.com