Netflix surprises market with surge in subscriber numbers

Tim Wallace
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FILM and TV streaming service Netflix saw profits rocket in the third quarter as subscriber numbers increased more quickly than expected.

Another 2.7m customers signed up globally in the three-month period pushing revenues up to $1.1bn (£681m), up 22 per cent on the $905m brought in during the same period of 2012.

The rising revenues pushed up profits four-fold, soaring from $8m in the third quarter last year to $32m in the three-month period this year.

Of its new customers, 1.3m are in the US and 1.4m in the rest of the world, driven by expansion into the Nordics and Netherlands late in 2012.

And it expects more growth to come from the Latin American market as it rolls out the service and offers free trials in the region.

The firm’s share price jumped 6.44 per cent on the announcement.