Netflix rebounds from subscriber losses; shares surge 14%

Netflix Inc. reversed customer losses that had been damaging its stock this year and forecast stronger growth in the future. More than doubling what Wall Street anticipated, Netflix added 2.4 million new customers from July through September.

The positive news comes as a reassurance for investors as the streaming giant gets ready to launch a new service with advertising,

In after-hours trading, Netflix shares increased by 14 per cent, helped in part by prediction that it would gain 4.5 million new subscribers in the fourth quarter. Before the quarterly announcement, the company's stock, which was a favourite among investors during its years of tremendous expansion, had decreased by about 60% this year.

Add WION as a Preferred Source

"Thank God we're done with shrinking quarters," said Co-CEO Reed Hastings, adding the company needs to continue gathering momentum by focusing on content, marketing and a lower-priced plan with advertising.

The fourth season of the sci-fi sensation "Stranger Things" and the serial killer series "Dahmer - Monster: The Jeffrey Dahmer Story" were both published by Netflix during the quarter. The latter became one of Netflix's all-time most popular programmes.

After a sharp decrease in the first half of the year, when the company's subscriber base fell by 1.2 million as a result of a shaky global economy and increasing competition for online contentconsumers,the streaming platformis attempting to restart membership growth. There are currently 223.1 million Netflix subscribers worldwide.

(With inputs from agencies)

WATCH WION LIVE HERE: