Netflix reports $8.54 billion revenue in Q3; adds 9 million subscribers

Netflix reported $8.54 billion of revenue in Q3 showing an 8% growth from last year. The total global paid subscriber base now stands at 247.2 million. It reported 9 million net paid subscribers in the quarter. 

Its net income was $1.6 billion, up nearly 20 percent from last year. Netflix further states that it focused on improving monetisation through a combination of strategies for subscribers and advertisers. The company that had launched it’s ad vertical in select markets a few months ago says it remains very optimistic about the opportunities in markets like China and Russia. 

“While we have much work to do to build out this business, we’re making good progress and laying the foundation for what we believe should be a multi-billion dollar revenue stream over time.” 

Its ads membership increased nearly 70% quarter-over-quarter and now accounts for ~30% of all new sign-ups. “Our immediate priority is building our ad membership so that Netflix becomes an essential buy for advertisers, which is key for advertising to become material to our business,” the company says. 

Netflix also announced that it will be raising the monthly price for its premium ad-free service in the United States, Britain and France. The streaming giant says that it will spend $13 billion on content this year, down from $17 billion.