Netflix no longer lose money this quarter
Netflix announced its Results for the quarter comprising April and June 2012, showing earnings for $ 6 million and revenue of USD $ 889 million. This is good news for the company, which has had a tough time in the past year. First lost customers to the controversial measure to raise the price of the Subscription in the U.S., then lost some contracts to deliver Movies in the same country and decided to divide the area of DVD rental plan that was canceled shortly thereafter.
The company reported an increase in customers in the north country from 23.4 to 23.9 million, while the rest of the world (Latin America, Canada, UK and Ireland) the number of subscribers increased from 3, 07 to 3.7 million.
In Latin America specifically, the company claimed to have a million subscribers. He also said he was dealing with “unique challenges” in the region, such as low device penetration, poor internet infrastructure and payment systems for electronic commerce. In the latter case, states that are in the process of expanding the payment options for Mexico and Brazil.
On the content, Netflix announced that in August will premiere “The Hunger Games” and that through an agreement with Fox added series “Glee,” “How I met your mother”, “24″ and “Prison Break” . Also added more episodes of South Park and announced that the fourth season of Breaking Bad will be available in September.
The international business losses generated anyway for $89 million in the quarter.
The DVD rental area continues to decline, dropping from 10 million users to 9.2 million. While this quarter was positive, the company expects to report losses again in the next quarter due to new international expansion plans involve the entrance to an “attractive European market further.”
Link: Netflix Releases Second-Quarter 2012 Financial Results (Netflix)Tags: catalog, earnings, Latin America, Movies, Netflix, Results, Subscription, video