Shares of Netflix jumped in premarket trading Wednesday after the company reported adding 13.1 million subscribers during the fourth quarter, stronger growth than Wall Street expected as the streamer builds its ad-supported service and cracks down on password sharing.
Netflix now has 260.8 million paid subscribers, a new record for the service, it said when it reported quarterly results after the bell Tuesday.
The subscriber growth easily tops the 8.76 million paid membership adds Netflix reported in the third quarter. The company also blew past Wall Street’s fourth-quarter expectations of 8 million to 9 million.
Here are the results:
- Earnings: $2.11 per share vs. $2.22 per share expected by LSEG, formerly known as Refinitiv
- Revenue: $8.83 billion vs. $8.72 billion expected by LSEG
- Total memberships: 260.8 million vs. 256 million expected, according to Street Account
Netflix reported fourth-quarter net income of $937.8 million, or $2.11 per share, versus $55.3 million, or 12 cents per share, in the prior-year period.
The company posted revenue of $8.83 billion for the quarter, up from $7.85 billion in the year-ago quarter.
