Netflix (NSDQ: NFLX) continues to reap the benefits of an economy that’s making consumers more apt to find cheap sources of entertainment at home. The movie rental company added 510,000 new subscribers over the course of Q3, with total subscribers up 28 percent-year-over-year. Paid subscribers represent about 98 percent of its member base.
The influx of business drove increases in both revenue and profits — and Netflix beat the Street’s expectations for both. Analysts like Wedbush Morgan’s Michael Pachter expected a 42-cent per share profit on revenues of about $420 million; the company’s revenues came in at $423.1 million, for a profit of 52-cents per share. That’s up 48 percent vs. Q308. In a statement, CEO Reed Hastings attributed the growth to Netflix’s “differentiated” offering of both DVDs by mail and streamed online.
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