Netflix released the earnings results from its most recently completed quarter after closing bell tonight, posting earnings of 77 cents per share, excluding losses from foreign exchange, on $1.57 billion in revenue. Including currency losses, Netflix’s earnings were 38 cents per share.
Analysts had been expecting the company to post earnings of 63 cents per share on $1.57 billion in revenue for the first quarter. Netflix had forecast earnings of 60 cents per share.
Key metrics from Netflix’ s earnings report
In the investor letter released tonight, Netflix said it passed 40 million U.S. subscribers and 20 million international subscribers during the first quarter. The company reported 4.88 million net streaming adds during the quarter, bringing its total subscribership to 57.39 million. Streaming revenue for the quarter was $1.4 billion.
In the U.S., Netflix added 2.28 million new members, and internationally, it added 2.6 million subscribers. In all, the company set a new record for member additions, hitting 4.9 million in the first quarter. That was significantly ahead of their guidance of 4.1 million and also beat last year’s 4 million net adds during the first quarter.
The company continued to see strong support for its original series, including House of Cards and Orange is the New Black.
Netflix provides second quarter guidance
Netflix said it expects to add 0.6 million net new subscribers in the U.S. during the second quarter, which is about the same as what it added last year. Internationally, Netflix expects 1.9 million net adds during the second quarter, a 70% increase from last year. The company expects its international operating loss to widen to $101 million in the second quarter as it continues its international expansion.
Starting in the current quarter, Netflix also said it will shift some of its U.S. marketing budget to international. During the first quarter, Netflix saw a strong launch in Australia and New Zealand.
Management also reminded investors of their intent to seek approval for a stock split.