According to the Zhongtong Finance APP, after the closing of the US stock market on Wednesday, Netflix (NFLX.US) released its financial report for the third quarter of 2023, showing year-on-year growth in revenue and profit. In addition, the company raised its profit margin forecast for the fourth quarter and announced a certain degree of price increase in the US, UK, and French markets. After the release of the third quarter financial report, the stock price rose more than 12% in after-hours trading.
The financial report shows that in the third quarter, Netflix's revenue was $8.54 billion, compared to analysts' previous forecast of $8.53 billion and $7.93 billion in the same period last year. Earnings per share were $3.73, exceeding the expected $3.49 and $3.10 in the same period last year. In terms of the number of paid streaming subscribers, there was a net increase of 8.76 million in the third quarter, surpassing the analysts' previous forecast of 6.2 million.
The total number of paid streaming subscribers in the third quarter reached 247.15 million, compared to analysts' forecast of 244.41 million. In the US and Canada region, the net increase in paid streaming subscribers in the third quarter was 1.75 million, compared to analysts' forecast of an increase of 1.22 million. In the Asia-Pacific region, the net increase in streaming users in the third quarter was 1.88 million, exceeding the analysts' forecast of 1.41 million.
For the full-year operating profit margin, the company expects it to be 20%, while analysts' forecast is 19.8%, and the company's previous forecast was 18% to 20%. The forecast for full-year free cash flow is $6.5 billion, exceeding analysts' expectations of $5.27 billion. The company's previous forecast was at least $5 billion.
The company's forecast for earnings per share in the fourth quarter is $2.15, while analysts' expectations are $2.17. The forecast for fourth-quarter revenue is $8.69 billion, slightly lower than analysts' expectations of $8.76 billion. The fourth-quarter playlist also includes the second season of the popular show &#34;Squid Game&#34;.

NFLX

In the third quarter, Netflix's revenue and profit both achieved year-on-year growth.

Netflix Q3 earnings report exceeds expectations, announces price increases in the US, UK, and France, and surges more than 12% after hours.