Friday 22 November 2019

Netflix customer base grows by one million

Mark Keenan

Mark Keenan

NETFLIX, the US-based streaming content provider which launched in Ireland amidst much fanfare in January, said it has added more than a million subscribers to its online television and movie services in Ireland and the UK in the first half of the year.

The group claims the expansion is its fastest yet into a new market. The Nasdaq-quoted company declined to issue separate figures for the Irish market but yesterday a US-based spokesman for the company said Ireland had performed well.

"We've been particularly pleased with our performance in Ireland where people have really embraced Netflix," he added.

The Irish service was also recently improved with the addition of a "recently added" function, already available in the US and Canada, which highlights the new content added to the Irish customer menu each month.

With 23.4 million unique subscribers, Netflix operates in the US, Canada and in Latin America. The second quarter results just published showed the company back into profit again ($6.2m) after taking a big hit in the first quarter on the startup costs for the UK and Ireland. The company posted a profit of $68m last year.

Lower than expected subscriber growth, a need to scale down its older DVD postal rental business and a prediction that the Olympics would impact on earnings in the third quarter, caused the company's share price to plummet after the results were issued.

Analysts predict a further knock in profits towards the end of this year as the company's aggressive expansion plans target another new European market launch in the final quarter. Given the company's existing Spanish and Portuguese networks in South America, Spain and Portugal are thought to be the obvious candidates.

Irish Independent

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