Content-wise, Netflix has had a very successful quarter. Not only did the company premiere popular programming like "The Unbreakable Kimmy Schmidt" and "House of Cards"' third season, but it also upgraded much of its hardware and tech. But how well did it do financially?
The popular streaming service released its first quarterly report for 2015 on Wednesday, which revealed details about Netflix's financial performance as well as user base growth. Netflix's first quarter revenue was $1.57 billion and the adjusted earnings per share was $0.77, with a GAAP (Generally Accepted Accounting Principles) profit per share of $0.38. While the revenue was what the market expected, the adjusted earnings were, according to Yahoo! Finance, eight cents more than predicted.
Netflix also revealed that its total user base increased to 62.3 million users, 4.9 million more than what Netflix had in the fourth quarter of 2014. That user increase was made up of 2.3 million new domestic subscribers and 2.6 million non-domestic subscribers.
While Netflix has done all it can to maintain its mail-based DVD distribution service, that segment only accounted for $85 million of Netflix's first-quarter profits, which is about 5 percent of the company's revenue.
"Netflix, like other companies, said weaker revenue and earnings came as a result of headwinds from the increasing strength of the dollar. As the company noted, the dollar's power cut its international revenue by $48 million, using 2014 exchange rates. That's a material impact," reports TechCrunch.
Regardless of the dollar changes, Techcrunch still considered Netflix's first quarter to be "a strong quarter from the company, and one that investors are rewarding with a sharp rally."
