Netflix continued to boast stronger than expected sales last quarter this year, managing to add 6.96 million accounts, rather than the expected 5 million. Pretty much all but a million of them came from international markets.
This marked an obvious step above the 5 million subscribers that the company gained in Q2 2018 (and 5.3 million for Q3 2017), which is an exception. The service continues to be the preferred choice of several million users worldwide, including Pakistan.
It also helped the company achieve revenues of $4 billion for the third quarter of the year, up from $2.9 billion of the same quarter last year. Earnings per share were 89 cents/share, up from 29 cents/share of the year prior.
The total number of subscribers on Netflix now amount to 130 million. For the upcoming quarter, the final of the year, it hopes to add a further 9.4 million users.
Goals for Next Year
For the upcoming year, the streaming service intends to spend as much as $9 billion on original content, which is up $1 billion from 2018. The focus is again on producing as diverse content as possible, leading to the acquisition of a studio in New Mexico, in order to reduce dependency on a single title.
CEO Reed Hastings did take note of increasing competition from AT&T’s HBO, the newly-entering Disney and ever-expanding YouTube, but said they didn’t seem to affect the company that much.
“What affects us is can we produce the best content the world’s ever seen?,” he said. “Can we get people excited about that content? Can we serve it up in ways that make it really fun and easy, again focusing on our fundamentals?”