The streaming platform lost 970,000 subscribers in Q2 2022. APAC added the most subscribers at 1.1 million during the same period.
Netflix, in its Q2 earnings report, has revealed it has lost 970,000 subscribers in April, May, and June, and it predicts a gain of one million paying members in the next quarter.
The video streamer’s Q2 revenue grew 9% year-over-year and stands at $7.9 billion. It, in the letter to shareholders, revealed Asia Pacific (APAC) revenue saw a 23% year-over-year growth and the region also added the most subscribers this quarter at 1.1 million.
However, the average revenue per membership (ARM) in APAC was -2% year-over-year due to the impact of the price decrease in India last December (2021).
Netflix has said “we’re targeting to launch this tier around the early part of 2023” when it comes to its “lower priced advertising-supported offering”. It is also working on an easy-to-use paid sharing offering to monetize the 100m+ households that are currently enjoying, but not directly paying for, Netflix starting with Latin America.
This quarter’s results should come as a breath of relief for Netflix which suffered a 200,000 subscriber loss in Q1 because it had predicted a two million subscriber loss this quarter. It, among many things, resulted in the layoffs of over 400 staff members and $70 million in severance costs in Q2.