Netflix Q2 Earnings Preview: Analysts Expect Windfall From Password-Sharing Crackdown

  • 📰 Variety
  • ⏱ Reading Time:
  • 57 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 26%
  • Publisher: 63%

Nigeria News News

Nigeria Nigeria Latest News,Nigeria Nigeria Headlines

Netflix’s move to start broadly monetizing password-sharing users — after years of tacitly allowing the practice with a wink and a nod — could help the streamer beat Q2 2023 earnings targets.

, “We do have a pretty robust slate of releases to take us into a long time” in the event of labor walkouts.

users on their accounts who live outside their households would need to be added as an “extra member”UBS analyst John Hodulik raised estimates on Netflix July 11 “following positive data on paid sharing,” he wrote in a note. “We continue to believe paid sharing will drive 5%+ uplift to revenue and see the roll-out as key to driving scale in advertising with the growth in the ad-tier mix and better targeting.

In June 2023, Netflix’s password-sharing crackdown resulted in more than 3.5 million gross sign-ups in the U.S. alone, per analytics firm Antenna — the largest single month of sub acquisition it has ever measured for the service . Netflix cancelations were also up in June, while the ratio of gross additions to cancels for the service reached its highest level since early in the COVID lockdowns in April 2020, according to Antenna.

Wedbush Securities analysts analysts Alicia Reese and Michael Pachter also believe Netflix’s paid-sharing program could deliver “meaningful upside to our estimates” after observing what appears to be “solid uptake” of the offer, they wrote in a July 14 note.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 108. in NG

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Netflix Earnings Preview: Bullish Wall Street Expects Progress on Password-Sharing Crackdown, Ad TierMacquarie speaks of a 'potentially momentous' quarterly update, while peers predict signs of accelerating growth in the second half of the year.
Source: THR - 🏆 411. / 53 Read more »