Netflix released their earnings report for 2018 today. The findings are pretty surprising considering the recent backlash against the streaming company. For 2018, Netflix reports that profits doubled, despite many angry users threatening to cancel their memberships with the streaming service this past year.
In their earnings report, Netflix says that the company grew their annual revenue by 35% to a whopping total of $16 billion in 2018. They also said that they "nearly doubled operating profits to $1.6 billion".
Netflix claims that they had almost 139 million total paying memberships around the world by the end of 2018. The streaming company is predicting that they will continue to grow in 2019, forecasting that there will be over 148 million paying memberships by the end of this year.
The streaming service cites "high member satisfaction" as the fuelling factor for their large growth, which allowed them to gain 29 million new paying memberships in 2018; however, Netflix users seemed to be anything but satisfied for numerous reasons.
Netflix when all their customers cancel their subscription for raising the price: pic.twitter.com/27nXcIQxd8— DeWayne (@__hiipow3r__) January 15, 2019
The company has been under major public scrutiny as of late, with many users threatening to outright cancel their subscriptions to Netflix. When Netflix announced that they would be increasing their membership prices, many people were outraged. The price hike will officially take effect starting next month on February 9, 2019.
However, it wasn't only the price change that was driving people to cancel their memberships. Many people have been questioning whether Netflix has enough quality content to watch on the streaming service compared to other streaming platforms. People were also super upset when Netflix took popular shows off their platform like New Girl and Bob's Burgers.
YO WTF NEW GIRL ISN'T ON NETFLIX ANYMORE???? WOW I AM SO PISSED IM CANCELLING THIS SHIT— Dulai (@DulaiAllDay) January 15, 2019
On top of all this, Canadians have been especially angry with Netflix due to a recent scandal. Netflix is currently under fire for using actual footage from the Lac-Megantic rail disaster for their popular movie Bird Box. The company announced today that despite the controversy, they would not be taking out the footage from the Canadian tragedy in Bird Box.
Therefore, the news that the company is thriving financially and added millions of new memberships may come as a surprise to many. It looks like, despite all the public scrutiny and backlash, Netflix made it out of 2018 successfully. Stay tuned to find out if it survives 2019.