Netflix’s stock rocketed past $100 a share â€“ a doubling in three months – after the company reported another phenomenal quarter. The online movie rental company logged a 44 per cent surge in first-quarter profit on a 25 per cent jump in revenue.
Even more impressive, the company gained a net 1.7 million subscribers in the first three months of the year, giving Netflix 14 million total subscribers. That’s up 35 per cent from a year ago and churn was only 3.8 per cent of its customers, a record-low and attributed to its new streaming services. Netflix movies can now be streamed on any of the three major video game consoles.
On the back of such great news, Netflix raised its profit and sales outlook. Netflix also upped its subscriber forecast by 1 million users, saying it now expects to add between 4 million and 5 million subscribers in 2010.