Why Netflix will stop telling everyone its subscriber count - Hindustan Times
close_game
close_game

Why Netflix will stop telling everyone its subscriber count

Apr 19, 2024 01:11 PM IST

Two years ago, Netflix made the fact public that it had lost one million subscriber count.

Netflix from next year onwards will not be telling its subscriber count, rather it will only be announcing its major subscriber milestone achievement. Netflix has said that it has started doing this because it feels that the subscriber count doesn’t reflect the growth of the company.

Smartphone with Netflix logo is placed on a keyboard in this illustration.(Reuters)
Smartphone with Netflix logo is placed on a keyboard in this illustration.(Reuters)

Read more: Grill Splendour Services IPO allotment to be finalised: How to check status

Netflix said, "In our early days, when we had little revenue or profit, membership growth was a strong indicator of our future potential. But now we're generating very substantial profit and free cash flow (FCF). We are also developing new revenue streams like advertising and our extra member feature, so memberships are just one component of our growth. In addition, as we've evolved our pricing and plans from a single to multiple tiers with different price points depending on the country, each incremental paid membership has a very different business impact."

Unlock exclusive access to the latest news on India's general elections, only on the HT App. Download Now! Download Now!

Read more: Sundar Pichai’s strict missive to Google employees: ‘This is a workplace, not…’

This can be problematic for investors since the shares of Netflix have been low for some time now, and topping it all, it won’t be providing the subscriber count for investors to keep a tab on.

Two years ago, Netflix made the fact public that it had lost one million subscriber count. After this, the investors started emphasizing that it’s more important to focus on the profits and not the subscribers.

Read more: Singapore recalls Everest fish curry masala alleging pesticide presence: ‘Levels exceed limits’

This quarter, Netflix earned a whopping $2.3 billion on revenue of $9.4 billion, making it a huge profit after years of loss-making.

The strategy of not telling about the business has also been used by giants like Google, which has made their stocks reach an all-time high.

Tell us what your First Vote will stand for in a short video & get a chance to be featured on HT’s social media handles. Click here to know more!

Get Current Updates on India News, Elections 2024,, Election 2024 Date along with Latest News and Top Headlines from India and around the world.
SHARE THIS ARTICLE ON
Share this article
  • ABOUT THE AUTHOR
    author-default-90x90

    Follow the latest breaking news and developments from India and around the world with Hindustan Times' newsdesk. From politics and policies to the economy and the environment, from local issues to national events and global affairs, we've got you covered.

SHARE
Story Saved
Live Score
OPEN APP
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Tuesday, May 21, 2024
Start 14 Days Free Trial Subscribe Now
Follow Us On