Shares of Netflix fell as much as 8.87% after the close on Tuesday on the NASDAQ, after reporting an 18.2% drop in first-quarter 2023 earnings to $1.305 million, compared with $1.597 million the same year. period of 2022.
The streaming platform reported this Tuesday that its quarterly revenues amounted to 8.162 million dollars, an increase of 3.7% compared to the first three months of 2022.
The number of subscribers rose by 1.75 million, although the market was betting on the adhesion of 2.41 million, said Banco Ve por Más (Bx+).
Netflix expected that the implementation of measures to prevent password sharing would start at the end of the first quarter, but there was a delay and now it expects it to happen in the second quarter of this year. “This means that some of the expected growth in memberships and revenue benefit will fall in the third quarter rather than the second, this will result in a better outcome for both our members and our business,” the report reads.
The company also noted that its new ad plan allows it to offer consumers a lower price. “While it is still very early days, we remain pleased with our progress across all key dimensions: member experience, advertiser value and incremental contribution to our business,” he said.
“In the first quarter we had several major series and movies return, demonstrating our growing ability to deliver stories across genres,” the firm said in its first financial report for 2023.
