Netflix Exceeds Expectations with Near-9m Subscriber Rise

The growth during the April-June period was higher than analysts had expected and was attributed to password-sharing crackdown efforts and interest in its new ad-supported tier.

Wall Street analysts had predicted that Netflix would add six million new subscribers in the period.

The rise was the biggest quarterly subscriber addition for the company since it added 10.1 million subscribers in the second quarter of 2020 just as Covid pandemic restrictions were starting to keep people at home.

Netflix said that its ad plan membership grew nearly 70% quarter over quarter, although it did not disclose what percentage of its base is subscribed to this tier.

The streamer also announced price rises, with its basic and premium services now costing $11.99 (up from $9.99) and $22.99 (up from $19.99) respectively. Netflix’s standard plan will remain at $15.49 a month.

In the UK, Netflix said monthly charges for its UK basic service will rise by £1 to £7.99 and the premium option will increase by £2 to £17.99.

Netflix highlighted the success of Suits, the legal drama starring Meghan Markle.

First released in 2011, the series spent several weeks among the top 10 of Netflix’s most-watched English television shows over the summer, racking up more than a billion viewing hours globally.

Netflix said that licensing shows like Suits had always been important and that it saw potential opportunities to license more hits “as the competitive environment evolves”.