Published on : Jul 22, 2014
Netflix, the internet video services provider, has reported that its earnings in the second quarter more than doubled. The company attributed this spike in earnings to the success of new episodes from one of its highly successful series. This has helped Netflix’s customer base to reach higher than 50 million worldwide – highest ever in the company’s history.
The company announced these gains on Monday, and said that it had recorded 570,000 new subscribers in the U.S. – a figure slightly higher than what Netflix’s management had anticipated. Conventionally, this quarter is the slowest for the company as people tend to engage in more outdoor activities, and do not watch as much video as they would in seasons such as winter.
Investors were pleased at the second-quarter results announced by Netflix, as the company’s stock saw a USD 4.65 rise, reaching USD 456.60 in the extended trading period. This year alone, the company’s shares have witnessed a 23% surge. Standard & Poor’s 500 index for the company jumped 7%.
In the second quarter, Netflix garnered millions of views for ‘Orange is the New Black’, one of its marquee attractions. The series returned in early June for its second season. In keeping with other original series by Netflix, this series too saw all 13 episodes being released simultaneously. This allows its customers to watch the entire season at their own convenience. The series, set in the backdrop of a women’s prison, received 12 Emmy Award nominations. As of June 2014, the number of Netflix subscribers stood at 36.2 million in the United States, and 13.8 million subscribers in about 40 other countries.