Post release of the report, Netflix shares marked a 12.4% jump in value in after-hours trading.
With 8.5m paid net additions in Q4 of 2020, Netflix has crossed the 200m paid memberships’ mark. For the full year, Netflix clocked 37m paid net additions, which represented a 31% increase from 2019’s 28m paid net adds. 83% of the subscriptions in 2020 came from outside the UCAN region, primarily the EMEA (41%).
In a letter to its shareholders, the company reported that it earned $6.64bn in revenue and earnings per share of $1.19 during Q4. Post release of the report, Netflix shares marked a 12.4% jump in value in after-hours trading.
Referring to the competitive OTT market Netflix said: “It’s a great time to be a consumer of entertainment. There are a wealth of options ranging from linear TV to video gaming to user-generated content on YouTube and TikTok. We continue to work hard to grow our small share of screen time against these major competitors. Our strategy is simple: if we can continue to improve Netflix every day to better delight our members, we can be their first choice for streaming entertainment. This past year is a testament to this approach. Disney+ had a massive first year (87 million paid subscribers!) and we recorded the biggest year of paid membership growth in our history.”
Netflix also shared that its productions are back on track in most regions, meaning viewers can expect fresh content on the streaming platform in Q1 of 2021. Netflix original film To All the Boys I’ve Loved Before 3, young adult drama Fate: The Winx Saga, Sky Rojo, (from the creators of Money Heist), and Space Sweepers, an action packed Korean sci-fi film; are all expected to be released later this season.