Netflix Swings to a Profit - TheStreet

Netflix

(NFLX) - Get Report

swung to a profit in the third quarter amid a jump in revenue.

The DVD-rental company reported GAAP net income of $3.3 million, or 10 cents per diluted share, compared with a net loss of $2.9 million, or 13 cents per diluted share for the year-ago quarter.

Non-GAAP net income was $6.1 million, or 19 cents per diluted share.

Total revenue for the third quarter was $72.2 million, up from $40.7 million for the third quarter of 2002.

The company revised fourth-quarter guidance, saying it expects revenue of $77 million to $81 million and a GAAP net loss of $0.2 million to a net income of $2.3 million.

"Service improvements continue to fuel our evangelical grassroots marketing efforts and to push retention to an all-time high," said Reed Hastings, founder and chief executive.