Netflix outperformed expectations in its fourth quarter (Q4) performance on January 23. The company added a massive 13.1 million new subscribers, surpassing the expected 8.97 million. This achievement marked its biggest-ever increase during the final months of the year, reaching an impressive total of 260 million subscribers. As a result, Netflix’s shares saw an 8.3% surge in after-hours trading, contributing to an outstanding 65% gain in stock value throughout 2023.

Media expert Jessica Reif Ehrlich from Bank of America hailed Netflix as the winner in the “streaming wars,” even though it fell slightly short of per-share earnings estimates at $2.11. Nevertheless, the company reported strong revenue of $8.8 billion, surpassing predictions. Netflix credits this success to hit shows like “Squid Game: The Challenge” and “All the Light We Cannot See.” Looking forward, Netflix anticipates double-digit revenue growth for 2024, emphasizing continued investment in advertising. The company predicts that advertising will become a primary revenue driver by 2025. With plans to boost spending on content, including a significant deal with World Wrestling Entertainment, Netflix aims for strategic and responsible growth in the ever-evolving media landscape.