Netflix Inc (NASDAQ:NFLX, ETR:NFC) is set to report another strong quarter of revenue growth when it transmits its fourth-quarter earnings next Tuesday, January 21.
The streaming giant forecasts a 14.7% year-over-year jump in revenue to $10.13 billion from $8.83 billion, in line with the Wall Street consensus.
Net income for Q4 is expected to be $1.85 billion and diluted earnings per share of $4.23, almost double the $2.11 reported in Q4 2023 and slightly above estimates of $4.22.
Netflix has guided operating income of $2.19 billion and an operating margin of $21.6%, a five percentage point improvement from the year-ago quarter.
The California-based company did not provide specific subscriber growth guidance but said it expects paid net additions to be higher in Q4 than Q3 due to normal seasonality and a strong content slate.
Analysts estimate Netflix added approximately 10 million subscribers during the quarter, almost double the 5.1 million it added during Q3.
Content expected to have boosted Netflix’s performance during the quarter includes new seasons of Squid Game, Outer Banks and Love is Blind, plus new shows such as Black Doves, No Good Deed and Man on the Inside, as well as live events such as the Jake Paul and Mike Tyson fight and two NFL games on Christmas Day.
Shares of Netflix traded down 1% at about $832 on Tuesday morning, having gained almost 73% in the last 12 months.