The company's report and its shares
Netflix (NASDAQ: NFLX) reported worse Q1 2022 results than analysts expected.
Netflix (NASDAQ: NFLX) shares, down 42% since the start of 2022, fell 25% after the close of trading on Tuesday. The company had a high of $351.68 per share in yesterday's trading, with a low of $333.22. Also as for Netflix shares, the stock added +3.18% in yesterday's trading.
movie and TV series streaming service has a market capitalisation of US$154.77.
Report from global streaming video giant Netflix
In its report, the company said Netflix's earnings for Q1st 2022, ended March 31, fell 6.4% to $1.6bn, down from $1.7bn a year earlier. Earnings per share fell 6% to $3.53, but were well above analysts' expectations of $2.89 per share. The company's earnings rose 10% to $7.87 billion, but fell short of analysts' expectations of $7.93 billion.
Also, the company's free cash flow for the quarter was $802m, up from $692m a year earlier.
For the first time in more than a decade, Netflix's total number of new global paid subscribers fell by 200,000, compared with the expected addition of 2.73 million subscribers worldwide.
It is worth noting that on Tuesday Netflix announced a forecast for a loss of 2mln global paid subscribers in the second quarter.
The company is exploring other growth options, such as adding video games, but these will take time to monetise and generate revenue.
Netflix was founded in 1997 and is headquartered in Los Gatos, California.
Directors of the company: