Netflix Posts Smaller Q2 Profit

Online DVD rental service Netflix has posted a slightly smaller profit, citing compensation expenses, although revenue nearly doubled on sharply higher subscriptions and a 10 percent rise in its monthly fee.

It posted earnings of $2.9 million, compared with $3.3 million a year earlier. Excluding stock-based compensation expenses, profits rose to $7 million, from $5 million a year earlier. Revenue soared to $120.3 million from $63 million.

Netflix charges subscribers from $21.95 to $49.95 a month to rent up to eight movies at any one time.

More earnings details in this release

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