Netflix gained 5.89 million paid subscribers in the second quarter, with over 1 million in each region, as it continued its rollout of paid sharing to more than 100 countries.
In its latest results, the company says it ended Q2 with 23.39 million global streaming paid memberships, or 8% more than in the same period. By way of comparison, in Q2 2022 it lost 0.97 million.
Significantly, the strongest growth was in the EMEA region, where Netflix gained 2.43 million streaming paid memberships.
Meanwhile, Netflix’s revenues in the second quarter this year amounted to $8,187 million, or 2.7% more than in the same period in 2022. Its net income was $1,488 million, up from $1,441 million in Q2 2022.
Netflix notes that its revenues in each region are now higher than they were prior to the introduction of pre-sharing, with sign-ups already exceeding cancellations.
Paid sharing is now being rolled out to all the remaining markets the company is present in.
However, in their case it is not offering an extra membership option as it has recently cut prices in several (including Indonesia, Croatia, Kenya and India) and penetration there remains low.
Although Netflix ad plan membership has nearly doubled since Q1, this is still off a low base and current ad revenue isn’t material for the company.
It says it nevertheless remains confident it can develop it into a multi-billion dollar revenue stream.
Broadband TV News notes that although Netflix’s revenues in Q2 fell short of analysts’ expectations and resulted in the company’s shares falling, it remains bullish about the rest of the year.
It forecasts they will reach $8,520 million in Q3, or 7.5% more than in the same period in 2022.
