Netflix Increases Profit and Revenue in the Third Quarter

A netflix online entertainment company today announced a profit of $3.66 billion (3.3 billion) between July and September, plus 44% compared to the homologous period, with revenues also rising.

According to the U.S. company, revenue rose by 12% from $11.51 billion (EUR 10.24 billion) to 12.87 billion.

Although results in the third quarter were slightly above analyst expectations, the streaming company reduced its projection for advertising sales, causing concerns about a slowdown in revenue growth.

“ With Netflix under pressure to find alternative revenue sources beyond subscriptions, it is worrying that the company has reduced its estimate for the advertising segment,” said Ross Benes, eMarketer’s senior analyst.

“Recasting content strategy is not enough to solve this challenge, but it is a valid start. The projections are not as aggressive as the investors were used to see ", it was a good thing.

Although Netflix has benefited from new subscriptions and price increases, the company faces intense competition in streaming, coming from companies such as Prime Video, Amazon, and Disney+.

Plus, Warner Bros. acquisition. Discovery by Paramount — in a $81 billion business — put HBO Max and Paramount+ under the same roof. Netflix presented a proposal to buy Warner Bros.’s studio and streaming arm. Discovery, but in February he withdrew it.

Last week Netflix announced plans to dismiss about 6% of its workforce, which is equivalent to nearly a thousand jobs (a total of 16 thousand worldwide), within the framework of broader “organizational changes”.