Netflix profits jump 24% as viewers flock to streaming shows and sports

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Price increases and healthy subscriber growth pushed Netflix’s earnings up by 24 per cent in the first quarter, as viewers flocked to watch the psychological crime series Adolescence and live streams of WWE wrestling.

The streaming company’s net income was $2.9bn, up from $2.3bn a year earlier, on revenue of $10.5bn. Its earnings per share of $6.61 were ahead of Wall Street forecasts of $5.71.

Netflix shares have performed well this year, rising 10 per cent while the tech-heavy Nasdaq Composite has fallen by 16 per cent due in part to concerns about President Donald Trump’s tariff policies. Netflix shares jumped another 5 per cent in after-hours trading in New York on Thursday.

The company made no reference in its shareholder letter to Trump’s tariffs, which have roiled many US companies. Netflix is holding to its full-year forecast of $43.5bn-$44.5bn in revenue based on assumptions of “healthy member growth, higher subscription pricing and a rough doubling of our ad revenue”.

Netflix announced last year that it would no longer disclose its quarterly subscriber figures, long a crucial metric for investors. Instead, it wants to shift focus to revenue, operating margin and other metrics. In a letter to shareholders, Netflix said its subscription and advertising revenue was slightly higher than forecast.

In January, it reported 19mn new subscribers — its biggest gain in quarterly subscribers in its history as it added live sporting events to its programming mix.

Netflix’s share performance also contrasts with traditional media stocks such as Paramount, Comcast and Walt Disney, which have come under scrutiny by Brendan Carr, Trump’s head of the Federal Communications Commission.