Palm Beach, FL 1/26/12 (StreetBeat) -- Netflix (Nasdaq: NFLX) this afternoon reported Q4 revenue and profit per share ahead of analysts’ expectations, and forecast the current quarter’s revenue well ahead of expectations, as subscriber numbers began to steady themselves.Revenue in the three months ended in December rose 47%, year over year, to $876 million, yielding EPS of 73 cents.
Analysts on average had been modeling $857.4 million and 54 cents a share.
The company ended the quarter with 21.67 million domestic streaming subscribers, it said, a gain of 220,000. International streaming subs rose by 380,000, for a total of 1.86 million. Total domestic subscribers, including DVD subscribers, rose by 610,000, ending at 24.4 million.
For the current quarter, the company sees revenue in a range of $842 million to $877 million, ahead of the $846 million average estimate, and a net loss per share of 16 cents to 49 cents, worse than the consensus 29-cent loss. The company projects it will have 22.8 million to 23.6 million total domestic subs this quarter, 2.5 million to 3.1 million International subs, and 9.4 million to 10 million domestic DVD subs.
Management remarked that it was encouraged by progress in winning back subscribers after losses last year:
We are encouraged by the strength in acquisition that we are seeing, coupled with continued improvements in retention among our domestic streaming members. For Q1 to date, our domestic net additions for streaming are tracking close to our net additions in Q1 2010 of 1.7 million net additions. Given this trend, we are comfortable with our ability to continue to expand our domestic streaming contribution margin.
Netflix shares are up $21, or 22%, at $116 in morning trade.
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