The US video service Netflix gains fewer subscribers than expected

Netflix added fewer new subscribers than expected in the first quarter. Outside the United States, 3.53 million new customers were added from January to March, compared with 1.42 million in the home market, the company announced Monday after the close of the stock market.


Analysts had expected 3.68 million and 1.50 million new subscribers, respectively. The Netflix share price fell after trading in an initial reaction of about three percent and was recently still in the red by a good one percent. Netflix - whose online video store competes with Amazon and Hulu - had ended regular trading with a plus of more than three percent in anticipation of good figures.

Overall, Netflix had 98.75 million customers at the end of March, up from 81.5 a year earlier. The company announced it was on track to break the 100 million mark this week. The California-based company's revenue rose about 35 percent to $2.64 billion in the quarter, in line with market expectations. Net income increased from 28 million to 178 million.

In the current quarter, Netflix expects 600,000 new customers in the USA. Internationally, 2.6 million subscribers are to be added. The stock price has risen about 19 percent since the beginning of the year, significantly outpacing the S&P 500 index's gain of about five percent. (SDA)

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