Netflix has always wanted Wall Street to judge it based on revenue and global operating-profit margins rather than subscription growth. But the company’s Q2 report shows just how unpredictable those results can be. Netflix added 5.2 million subscribers, much more than the 3.2 million it predicted, for a total of 104 million global subscribers. But its global operating profit margin was down 4.6 percent from 9.7 percent in Q1, while revenue skyrocketed 32 percent to $2.79 billion. Continue reading Netflix Subs and Revenue Are Up, Operating Profit Is Down

Netflix chief executive Reed Hastings thinks it’s a win-win for movies to play in theaters and stream to the home, comparing the former to going out to dinner, and the latter to cooking at home. Saying it is “inevitable that the current window system breaks down,” Hastings believes that audiences will still pay for the communal experience of a movie theater. He also stated that, although he had argued for net neutrality in the past, he currently believes it is not Netflix’s primary battle anymore. Continue reading Netflix’s Hastings Says Streaming Can Coexist With Theaters