Netflix shares rise after subscriber numbers climb

Shares of the world's leading online video streaming service, Netlix, touched a record high on Monday and rose a further 1.2 per cent after hours to US$205.07.
Shares of the world's leading online video streaming service, Netlix, touched a record high on Monday and rose a further 1.2 per cent after hours to US$205.07. PHOTO: REUTERS

BOSTON (Reuters) - Netflix added more subscribers than expected around the world in the third quarter and projected growth in line with Wall Street forecasts, saying it had a head start on rivals as Internet television expands globally.

Shares of the world's leading online video streaming service touched a record high on Monday and rose a further 1.2 per cent after hours to US$205.07.

They are up about 64 per cent this year.

For the third quarter, Netflix added 5.3 million subscribers around the world, compared with Wall Street's target of 4.5 million, which would bring its global customer base to 109 million.

The company is spending heavily to produce and acquire content as it races to dominate streaming television in international markets, which now account for the majority of its subscriber growth.

But it faces increasing competition from streaming services such as Amazon.com's Prime Video, plus moves by traditional media companies.

Walt Disney decided to yank its movies from Netflix starting in 2019 and start its own online offering.