Netflix adds 10 million new subscribers and approaches its best record

In recent times, traditional television has lost subscribers to the streaming service. This finding is due to the popularity of services such as Netflix, HBO Go, Disney +, Apple TV and Amazon Prime, virtual platforms that have revolutionized the way we watch movies, series and documentaries.

However, Netflix is ​​one of the companies that has made the most profits compared to other streaming services. '' The company recently reported adding 10 million new subscribers and approaching its best record. So far this year, it has almost 26 million new customers thanks, in large part, to the confinement that has been imposed in various countries around the world, as a measure to prevent the spread of the coronavirus, '' says Ricardo Mendoza, specialist in startups and coordinator at TechSpring.

In just six months of 2020, Netflix reported that it is approaching the total number of users it achieved in all of 2019, which stood at 28 million. However, the company mentioned that the growth rate is likely to slow down as the initial shock of the pandemic could be overcome, when its service became a refuge for many people.

The popularity of the streaming platform has led to its profits reaching $ 720 million between March and June, 166% more than in the same period of 2019, since the accumulated earnings in 2020 stand at 1,429 million dollars .

Netflix shares also rose, nearly 60%. Its good streak makes it one of the best companies in the S&P 500 after having shown good results in recent months, since it announced the figures for the first quarter, which reflected that it had doubled profits compared to last year and that it had added about 16 million registered users.

However, the released figures were not enough for investors, as earnings per share fell short of analysts' expectations, and its shares fell more than 9% in electronic trading after the New York markets closed.

Nor were the forecasts for the third quarter of the year convincing, since the company placed subscribers at 2.5 million, well below the forecasts of the specialists, who had calculated 5.27 million more new subscribers from June to September this year. In addition, the revenue that Netflix expects for the third quarter is $ 6.330 million, while analysts had placed it at $ 6.400 million.

The executives explained that “growth is slowing as consumers recover from the initial shock of COVID-19 and social restrictions.”

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