Netflix Adds 16 Million Subs in Q1

Netflix’s subscriber base surged in Q1, with the platform adding 15.8 million customers to reach 182.9 million globally, reflecting a 22.8 percent year-on-year gain.

The platform delivered revenues of $5.8 billion in the first quarter, a 27.6 percent increase, with a net income of $709 million.

Netflix acknowledged that the gain in memberships was driven by COVID-19-related home-confinement measures. As people return to work worldwide, the company expects viewing and growth to decline. For Q2 Netflix expects to add 7.5 million subs. “The actual Q2 numbers could end up well below or well above that, depending on many factors, including when people can go back to their social lives in various countries and how much people take a break from television after the lockdown.”

The company is also expecting the strong value of the U.S. dollar to impact its international revenues going forward.

EMEA revenues in Q2 rose to $1.7 billion, with 7 million paid net additions to reach 58.7 million customers. LatAm revenues were $793 million from 34.3 million paid memberships, a net addition of 2.9 million. In AsiaPac, Netflix added 3.6 million customers to reach 19.8 million subs, generating revenues of $484 million. The platform added 2.3 million subs in the U.S. and Canada to reach 70 million customers, while revenues rose to $2.7 billion.

In its Q1 letter to shareholders, Netflix also revealed viewership numbers for some its key originals. Tiger King: Murder, Mayhem and Madness has been watched in 64 million member homes and Love is Blind logged views in 30 million member homes. Season four of the La Casa de Papel (Money Heist) is projected to be viewed in 65 million homes.