Six big questions re: Netflix:
1) How much revenue is Netflix generating?
2) How many streaming subscribers does Netflix have?
3) Where is the subscriber growth coming from?
4) How much revenue do they make from each streaming subscriber?
5) What share of streaming viewership does Netflix account for?
6) Does Netflix have live sports yet?
Big question #1: How much revenue is Netflix generating?
Netflix revenue (YoY growth):
1) 2015-Q1 – $1.6B
2) 2016-Q1 – $2.0B (↑ 24%)
3) 2017-Q1 – $2.6B (↑ 35%)
4) 2018-Q1 – $3.7B (↑ 40%)
5) 2019-Q1 – $4.5B (↑ 22%)
6) 2020-Q1 – $5.8B (↑ 28%)
7) 2021-Q1 – $7.2B (↑ 24%)
8) 2022-Q1 – $7.9B (↑ 10%)
9) 2023-Q1 – $8.2B (↑ 4%)
10) 2024-Q1 – $9.4B (↑ 15%)
Netflix profit (YoY growth):
1) 2022-Q1 – $1.6B
2) 2023-Q1 – $1.3B (↓ 18%)
3) 2024-Q1 – $2.3B (↑ 79%)
Big question #2: How many streaming subscribers does Netflix have?
Netflix subscribers (YoY growth):
1) 2015-Q1 – 62.3M
2) 2016-Q1 – 81.5M (↑ 31%)
3) 2017-Q1 – 94.4M (↑ 16%)
4) 2018-Q1 – 118.9M (↑ 26%)
5) 2019-Q1 – 148.9M (↑ 25%)
6) 2020-Q1 – 182.9M (↑ 23%)
7) 2021-Q1 – 207.6M (↑ 14%)
8) 2022-Q1 – 221.6M (↑ 7%)
9) 2023-Q1 – 232.5M (↑ 5%)
10) 2024-Q1 – 269.6M (↑ 16%)
Netflix subscribers (% of total):
1) International – 186.9M (69%)
2) U.S./Canada – 82.7M (31%)
3) Total – 269.6M
Big question #3: Where is the subscriber growth coming from?
Netflix subscriber growth (% of total):
1) International – 6.8M (73%)
2) U.S./Canada – 2.5M (27%)
3) Total – 9.3M
Big question #4: How much revenue do they make from each streaming subscriber?
Monthly ARPU for Netflix in the U.S./Canada (YoY growth):
1) 2019-Q1 – $11.45
2) 2020-Q1 – $13.09 (↑ 14%)
2) 2021-Q1 – $14.25 (↑ 9%)
3) 2022-Q1 – $14.91 (↑ 5%)
4) 2023-Q1 – $16.18 (↑ 9%)
5) 2024-Q1 – $17.30 (↑ 7%)
Big question #5: What is Netflix’s share of streaming viewership?
Quick answer: Netflix accounts for 8% of total TV time and 21% of streaming TV time.
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Big question #6: Does Netflix have live sports yet?
Quick answer: Yesish. In SOTS #352, we covered the $5B deal for WWE Raw but held off on calling it live sports. In July, Mike Tyson (a friend of SOTS…hopefully) will fight sports drink tycoon Jake Paul in a live boxing match. The sports picture for Netflix is coming into focus.
More evidence: Richard Hayden, of Tommy Boy fame, spotted Ted Serandos (Netflix co-CEO) sitting ringside with Ari Emanuel (Endeavor CEO).
Why this matters: Endeavor is the majority owner of UFC. The UFC’s media rights are up for renewal next January. ESPN has been paying $1.5B over seven years.
