STREAMING

Netflix beats subscriber forecasts in Q1, shares soar

(Reuters) - Netflix reported in a report that it added more paid subscribers than expected in the first quarter, with global blockades to stem the spread of the new coronavirus forcing people to stay home and watch online programs.
Shares of the streaming giant, which rose about 35% this year, advanced 4% in the after-market.
Demand for streaming services has increased in recent months, with the rapidly expanding virus infecting more than 2.5 million people worldwide, restricting movement.
But some analysts believed streaming service subscriptions would be among the first items to be cut by people amid a wave of layoffs and fears of an economic recession because of the pandemic.
But Netflix said it expects to add 7.5 million paid subscribers globally in the second quarter, compared with analyst estimates of 3.81 million, according to research firm FactSet.
The company added 15.77 million paid subscribers globally in the first quarter - well above analysts ' estimates of nearly 8 million, according to FactSet.
The company added 3.6 million subscribers in Asia-Pacific, its fastest growing region, while its Latin American subscribers grew 2 million subscribers.
Total revenue increased to $ 5.77 billion, up from $ 4.52 billion. Analysts expected, on average, 5.76 billion, according to IBES data from Refinitiv.

by Akanksha Rana and Lisa Richwine