Netflix Inc. (NASDAQ:NFLX) Eyes Tie-ups With Pay TV Providers

Posted by Lynn Eisler October 22, 2013 0 Comment 1003 views

After the announcement by the Netflix Inc. (NASDAQ:NFLX) during its 3Q13 earnings release that it has gained more subscribers than expected, its shares have shoot up above 10% and the company is also expecting more growth during the quarter.

In 2013, in the S&P 500, the company has been among the highest gainers. For 3Q13, the company reported its net income at $31.8 million or 52 cents a share as compared to $7.7 million or 13 cents a share in the same quarter of the previous year. Its revenue has increased by 22% to $1.11 billion from $905 million of previous year’s same quarter. For the 4th quarter, the company is expecting earnings between 47 cents and 73 cents.

With the help from original series like “Orange is the New Black,” which impressed the investors, the company gained more subscribers than expected at home and also at abroad. The company which has invested a lot in original series like “House of Cards”, stated that from July to September, it has more than 31 million U.S. streaming users.

For the last 3 months of the year, the company said that it is expecting to add approximately the same number of U.S. streaming users, which it has signed up a year ago and is also going to end the year 2013 with more than 32 million to 33 million users.

On October 21, 2013, Reed Hastings, who is a Chief Executive Officer of the company, said that, he has been hopeful for a deal with Comcast Corporation (NASDAQ:CMCSA) and other pay TV providers to offer his company’s services like movie and TV streaming cable set-top boxes.

The CEO further added after the release of quarterly earnings of the company  that, he is indeed very hopeful that they can do that with Comcast corporation and also with others in the industry, while, a Comcast spokeswoman couldn’t made comment instantly.

About Lynn Eisler

Lynn Eisler is a national news reporter focusing on economic issues, data analysis and the financial health of state and local governments. Lynn has been honored with the H.L. Mencken Award for Investigative Reporting, the Champion of Justice Award for reporting on the drug war, and the John Hancock Award for business reporting. Lynn was also a Knight Medical School Fellow at the University of Michigan.

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