Netflix (NASDAQ: NFLX) reported Q1 financial results with $8.16 billion in revenue.
Up 3.7% YoY, narrowly missing the $8.18 billion estimate. Earnings per share were $2.88, beating the $2.86 estimate. The streaming giant had 232.5 million global paid subscribers, a 4.9% YoY increase, with 1.75 million net new subscribers added in Q1.
Revenue growth was seen in the UCAN (8%), LATAM (7%), and APAC (2%) regions, while the EMEA region experienced a 2% decline. Popular returning and new shows contributed to Q1 success, and the ad-supported tier exceeded initial expectations with minimal downgrading from standard and premium pricing.
Netflix is discontinuing its DVD-by-mail service on September 29, 2023, after 25 years. The company forecasts Q2 revenue of $8.24 billion, up 3.4% YoY, and earnings per share of $2.84. It will continue to focus on new plans and pricing models globally to meet customer demands.
The streaming service aims to achieve long-term double-digit revenue growth, operating margin expansion, and free cash flow growth through improvements in member experience and monetization. Netflix shares fell 0.33% to $332.59 in after-hours trading, within a 52-week range of $162.81 to $379.43.