Netflix falls after slight Q4 revenue miss and solid subscriber growth numbers (NFLX)

Netflix reported its Q4 earnings on Thursday, whiffing slightly on revenue but beating company guidance and Wall Street estimates for global paid net subscriber additions. Netflix also beat on EPS.

Netflix added 8.8 million paid subscribers globally, rising to 139 million.

The results come just days after Netflix unleashed its biggest price hike ever, which increased its most popular plan from $11 per month to $13.

Industry watchers were looking for signs in Netflix's guidance for Q1 for how that price increase might affect its subscriber growth. The streamer estimated it would add 8.9 million paid subscribers globally, well above Wall Street estimates of 8.5 million.

The stock fell about 4% immediately following the news, but Netflix had been up 32% since the start of the year.

Netflix's spotlighted some of its blockbuster content in its letter to shareholders, saying that it estimated its original movie "Bird Box" would be "enjoyed" by 80 million households in the first month. Netflix said it had seen "high repeat viewing."

Netflix also estimated that "You," a creepy thriller it picked up from lifetime, as well as its new British show "Sex Education," would reach 40 million households.

Here are the key numbers for Netflix's Q4 earnings:

• Q4 revenue: $4.19 billion, versus Wall Street estimates of $4.21 billion, and Netflix's forecast of $4.20 billion.
• Q4 earnings per share (GAAP): $0.30, versus Wall Street estimates of $0.24, and Netflix's forecast of $0.23.
• Q4 total paid subscriber growth (paid net additions): 8.8 million, versus Wall Street estimates of 7.6 million, and Netflix's forecast of 7.6 million.
  
  • 1.5 million US.
  • 7.3 international.
• Q1 total paid subscriber growth guidance (estimated paid net additions): 8.9 million, versus Wall Street estimates of 8.5 million.
  • 1.6 million US.
  • 7.3 million international.

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