Monday, April 27, 2009

Netflix Continues to Grow at Impressive Rate

As more families cut costs by staying in for the night, Netflix (NASDAQ: NFLX)is reaping the rewards. Today's financial report from the online movie rental company disclosed a 21% raise in revenue  to $394 million.

According  to this recent article in the Wall Street Journal, Netflix expects their positive momentum to swing through the summer months.

Netflix expects revenue of $403 million to $409 million and a total of 10.4 million to 10.6 million subscribers by June 30...For the year, the company raised its revenue outlook to a range of $1.63 billion to $1.67 billion from its previous forecast of $1.58 billion to $1.635 billion.

 

You may recall my post from last October titled: Netflix Lowers Expectations for Subscriber Growth, when they revised their growth forecast buy 100,000 fewer subscribers. The revenue increases must come as welcome news to Netflix.

How is Netflix luring more subscribers?

More movies available through more outlets. Subscribers can stream thousands of movies thanks to Netflix and Starz teaming up to add  thousands of movies to the watch instantly section, which was made available to  XBox 360 users earlier this year. As a result, anyone with a broadband internet connection and/or XBox Live can watch an unlimited amount of streaming movies. Meanwhile, Blockbuster is playing catch-up.

Posted By Matt O'Hern at 09:05 AM
Permanent Link: Netflix Continues to Grow at Impressive Rate | Comments (1)

(1) Comments on Netflix Continues to Grow at Impressive Rate

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