Netflix saw record subscriber growth in Q4 2017

NetflixNetflix’s membership passed 117m subscribers globally in 2017, adding a record 8.3m users in the final three months of 2017.

Of the over 8m new subscribers around the world, the video streaming powerhouse added 6.36m of outside of the US. Netflix puts this down to the strength of its original content with The Crown, Black Mirror, and Stranger Things all returning in Q4 2017, while new titles such as Marvel’s The Punisher and Godless became available to users. The company also invested heavily in Bright, a movie starring Will Smith, which proved a massive success – despite being universally panned by critics.

Over the course of 2017, Netflix added 24m new members, compared to the 19m added in 2016, as growth continues to accelerate.

Financially, Netflix saw its revenue rise to almost $3.3bn in the fourth quarter – a year-on-year (YoY) increase of nearly 33 per cent. Meanwhile, net income sat at $186m for the quarter – up from $67m the year prior. Despite its financial improvements, the company was also forced to write off $39m for ‘unreleased content’. It’s believed this content could be work featuring Kevin Spacey, after the company cut ties with the star following sexual misconduct accusations last year.

Looking ahead, Netflix expects to add 6.35m users globally – 1.45m in the US and 4.9m in the rest of the world – this quarter. Meanwhile, the company plans to spend between $7.5bn and $8bn on content in 2018, as well as grow its technology and development investment to around $1.3bn.

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