Netflix said on Monday it added about 630,000 new subscribers and earned 49 cents in earnings per share (EPS). While some had hoped for stronger subscriber growth numbers to push Netflix over the 30 million user mark, the company's top and bottom line earnings did beat consensus Wall Street estimates.
The Los Gatos, Calif.-based Netflix reported earnings of 49 cents per share on $1.069 billion in revenue. Analysts surveyed by Thomson Reuters expected Netflix to earn 40 cents per share on $1.07 billion in revenue for the second quarter.
The company added 630,000 domestic streaming subscribers, and 610,000 international streaming subscribers, bringing the company's total to 29.84 million domestic streaming subscribers. Expectations on Wall Street called for 700,000 domestic streaming subscribers to be added.
"We generally expect net additions in Q2 to be lower than prior year Q2 due to increased net add seasonality as we grow," CEO Reed Hastings wrote in a letter to shareholders.The company gave third-quarter guidance that was weaker-than-anticipated. It expects to earn 30 cents to 56 cents per share in the third quarter, on a revenue range between $959 million and $993 million. Estimates call for Netflix to earn 43 cents per share in the quarter. Shares of Netflix closed the regular session lower, falling 0.99% to $261.96. -- Written by Antoine Gara and Chris Ciaccia in New York Follow @AntoineGara