Netflix Is Thrilled They Only Lost 970,000 Subscribers Last Quarter
Back in April, Netflix reported that 200,000 subscribers were so disturbed by the dating show Sexy Beasts, they not only canceled their subscriptions, they put their TVs outside like at the end of Poltergeist just to be sure. OK, maybe that was just me. But the fact remains that Netflix was hemorrhaging subscribers and, at the time, predicted they’d lose another two million by quarter’s end. Well the numbers for Q2 are out and despite the fact that Meghan Markle and Prince Harry refused to sign off on hosting a reality show called Escape From Sandringham where contestants dressed as Princess Diana attempt to navigate an elaborate booby-trapped castle while being pursued by Squid Game-esque henchmen, Netflix only lost an additional 970,000 subscribers. I’m no economist but that still seems bad to me, but according to CNN, Netflix and their investors are taking a victory lap all the same.
No word if Netflix shareholders are “pleasantly surprised” enough to drop their lawsuit against them, but hey, as they say, Stranger Things have has happened and their stock is up as a result. CNN reports:
Netflix reported Tuesday that it lost 970,000 subscribers in the second quarter of 2022 — a number far lower than its own forecasts, which had projected that the streaming giant would lose two million subscribers.
After disclosing in April that it lost 200,000 subscribers, leading to a steep drop in its share price, all eyes were on Netflix Tuesday, with Wall Street, Hollywood and the media world all hyper-focused on its subscription numbers. The company’s shares had dropped dramatically during a nightmare year.
But Netflix’s second quarter profit came in at $1.4 billion, up from $1.3 billion in the year-earlier quarter. Revenue jumped roughly 8.6% year over year, to $7.9 billion.
The company also said it would add another one million subscribers in the third quarter, a number that was slightly lower than Wall Street expectations. But investors were clearly happy with the results, and Netflix shares jumped as much as 8% on Tuesday in after-hours trading.
So these bitches made $1.4 billion in smooth profit for the quarter yet keep trying to make me watch The Lincoln Lawyer? Make it make sense. No wonder North American subscribers defected in droves.
Netflix’s biggest subscriber loss came from its biggest market, the United States and Canada, where the streamer said it lost 1.3 million users in the second quarter. But that was offset by increased subscriptions elsewhere.
This is probably why The Circle comes in four distinct flavors — Salt & Vinegar (UK), BBQ (Brazil), Hot Mustard (France), and Hot Dog Water (US). But not all of their North American shows are completely inedible. CNN credits the 4th season of Stranger Things with retaining viewership.
“In its first four weeks, ‘Stranger Things’ season four generated 1.3 billion hours viewed, making it our biggest season of English [language] TV ever,” the company said.
The streamer’s results Tuesday still showed losses for a company that needs to grow. Yet, after the last hellish months for Netflix, the company and really all of streaming can breathe a sigh of relief. And the company got some breathing room to right the ship without the pressures of a plummeting stock or negative press.
As for the future, Netflix is working with Microsoft to develop their proposed ad-based service tier and they’re still going to try to stop me from including my password in my email signature (see: Netflix’s new “extra home” charge for those who share their password). Which, now that I think about it, might be why they keep suggesting I watch The Lincoln Lawyer. Damn me and my wildly popular Ally McBeal newsletter!
Pic: Netflix