Netflix attracts more than 10 million new subscribers, but plunges in the Stock market

Netflix attire plus de 10 millions de nouveaux abonnés mais plonge en Bourse

The giant of streaming, Netflix has attracted 10.1 million new subscribers in the second quarter but its share fell more than 10% on Thursday on Wall Street so that its income is less than anticipated and that growth is expected to slow down.

Since the beginning of the year, the platform has in total attracted 26 million new paying subscribers, attracted by the thousands of hours of programmes offered by the site at the time the pandemic COVID-19 forced many of them to stay home.

This is almost as many as 28 new million subscribers on the whole of the year 2019, note Netflix now 192,95 million subscribers.

“However, as expected, the growth slows as consumers are recovering from the initial shock of the COVID and restriction measures,” stresses the group does not anticipate that 2.5 million new paying subscribers in the third quarter.

Its net profit has more than doubled in the second quarter, to $ 720 million. But adjusted per share, the benchmark for investors, and it rises to 1.59 dollar, where analysts anticipated 1,81 dollar. The group has had to cope with the effects of the exchange rate.

Its turnover has increased by 25% to € 6,15 billion, slightly above expectations (6.08 billion).

The group also emphasizes the resume “gently” the production of content in the world.

Projects are already well distributed in Asia and in some european countries, and Netflix has also revived the production of two films in California and two animated films in Oregon.

But “the trends in new infections create more uncertainty” on the projects in the United States, note the group.

To the extent that the production times are quite long, the launches of shows and original movies planned for 2020 are in the aggregate remained intact, ” says Netflix. For 2021, the group anticipates that the number of outputs will be the same but they will be more concentrated in the second half.

The group did not care particularly for this delay.

“The pandemic and breaks in production have a similar impact on our competitors and our suppliers. With our wide library of thousands of titles, and strong recommendations, we believe that our members remain satisfied “, avance-t-il.

Netflix also announced on the occasion of the publication of his results as Ted Sarandos, currently head of content, was appointed co-ceo alongside co-founder Reed Hastings.

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