Netflix delivers a big beat in first earnings report without subscriber numbers

Core Insights - Netflix reported a strong earnings performance for the first quarter, with revenue of $10.54 billion, slightly exceeding analyst expectations of $10.5 billion [1] - The company achieved an operating income of $3.3 billion, surpassing Bloomberg's estimate of $3 billion, and earnings per share of $6.61, significantly above the expected $5.68 [2] - Netflix's stock rose by 3% in after-hours trading following the earnings announcement [2] Subscriber Metrics and Changes - Netflix has stopped providing specific quarterly subscription numbers, shifting focus to ad sales and content plans for performance evaluation [3] - The company has seen an increase in new subscribers, attributed to new policies aimed at reducing password sharing, encouraging users to pay for their own accounts [2] Advertising and Market Strategy - Netflix is expanding its advertising efforts, having launched its ad tech platform on April 1, with plans to roll it out in additional countries soon [4] - Analysts are monitoring the impact of external factors, such as trade tensions, on Netflix's performance in international markets [4] Growth Aspirations - Netflix aims for a market capitalization of $1 trillion by 2030, indicating ambitious growth plans [5] - The company's stock has outperformed broader market indexes and major tech stocks this year, suggesting strong investor confidence [5] - Analysts believe that viewership may increase if the US enters a recession, as consumers may turn to Netflix for entertainment [5]