Customers flock to Netflix during the crown crisis – E24

It shows the company’s new quarterly report that was released Tuesday night.

Netflix estimated in January that it would get seven million new paid subscribers during the first three months of the year.

Overall, at the end of the first quarter, 182.86 million people had a continuous subscription to Netflix. The electricity company expects this to increase to 190.36 million during the current quarter, but it is emphasized that the projections here are highly uncertain.

The number of users is growing especially in Europe, the Middle East and Africa. Here, Netflix gained nearly seven million new subscribers in the first quarter. In the United States and Canada, the comparison increase was 2.3 million.

Asia, which was hit early by the crown pandemic, was also eager for Netflix users in the first quarter. Here, the number of paying users increased by 3.6 million to a total of almost 20 million.

Dollar-bang

The company’s revenue totaled $ 5.77 billion, corresponding to more than NOK 61 billion in the quarter. That was just above analyst expectations of $ 5.76 billion, according to Refinitive, writes CNBC.

Netflix also adds that a strong dollar makes revenue for international customers lower than they could have been. The company reports that the monetary problem has had a negative impact on earnings of $ 115 million.

“We hope that people will see less and that membership growth will slow when people are no longer confined to their homes, which we hope will be soon,” Netflix writes in the report.

Earnings per share fell to $ 1.57 per share, which is slightly below analyst estimates of $ 1.65. At the same time, there was a significant improvement over the previous quarter, when the result was $ 1.30 per share.

The stock market rises after the stock market.

Shareholders appear to be more or less satisfied with the quarterly report, increasing the stake by around 3.5 percent in the aftermarket.

So far this year, Netflix has been one of the big winners on Wall Street, more than 30 percent, before the recovery.

Netflix has been cited by several analysts as one of the big winners during the crown crisis, due to billions of people around the world being asked to stay home.

At the same time, some analysts have warned that clients may cancel their subscriptions if they lose their job or experience pay cuts, CNBC writes.

The success of the tiger

But the crisis has already led to great success for Netflix.

As large parts of the world closed for roughly a week in March, “a whole world” began to watch the controversial documentary series “Tiger King: Killing, Chaos and Madness”.

The series is about the story of the two rivals Joe Exotic and Carol Baskin, both with different types of tiger parks in the United States. The eight-episode series has now attracted huge attention worldwide in the past few weeks.

Although customers flow and interest in the company’s content has rarely been greater, Netflix also faces a challenge in the future. Due to the crisis in the crown, the filming of new productions has stopped almost everywhere.

Netflix believes that this will slightly affect productions to be released in the second quarter, but that future releases may be affected.