Advanced Television

Netflix at 302m subs

January 22, 2025

By Nik Roseveare

Netflix added 18.9 million new subscribers in in Q4, double analysts’ estimates, bringing its global users to 302 million – which equates to around 4 per cent of the world’s population.  Revenue increased 16 per cent year-on-year to $10.25 billion (€9.82bn).

This is the last quarter in which Netflix will report subscriber numbers, shifting its focus to more traditional metrics such as profit margin and revenue growth. Starting with in Q2 results, Netflix will also publish its bi-annual engagement report – which accounts for 99 per cent of all viewing on the platform.

Content highlights in the quarter included Squid Game Season 2, the Carry-On movie, and live sports such as the Jake Paul vs Mike Tyson fight (which pulled over 60 million live streams worldwide) and the Christmas Day NFL games.

Netflix reported that the ad-supported version of its service now accounts for 55 per cent of its new sign-ups in countries where it is available.

“We exceeded our ads revenue target in the fourth quarter,” commented Netflix Co-CEO Greg Peters. “We doubled our ads revenue year over year last year. We expect to double it again this year.”

Netflix’s stock surged by some 13 per cent in extended trade following the results news, lifting its stock market value by almost $50 billion.

Reacting to the results, Paolo Pescatore of PP Foresight commented: “Netflix reaffirms its leadership position and is absolutely running away in the streaming market. It is now flexing its muscles by adjusting prices given its far stronger and diversified programming slate compared to rivals. These latest results reaffirm the company’s strategy and validates move into live sports that will drive subscribers and drive engagement. More importantly it will help monetise its base through advertising and sponsorships.”

Ross Benes, senior analyst at eMarketer, said: “Two of Netflix’s official 2025 priorities are increasing ad revenue and developing more live programming. What was recently anathema, is now among the company’s top priorities. So when Netflix stated in its shareholder letter that ‘we’re not focusing on acquiring rights to large regular season sports packages’, it wouldn’t be surprising for Netflix to reverse course in the near future and acquire more sports rights. Expect the company to continue adapting by embracing strategies that it said it wouldn’t.”

Netflix additionally announced that it would soon be raising prices in the US, Canada, Portugal and Argentina as it spends more on programming.

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