Disney will pull its movies through Netflix This kind of year to stream on its own completely new service, Disney+ instead. although CEO Reed Hastings said on a live-streamed earnings interview following the report of which he’s unconcerned about the loss of content through third-parties in addition to is usually focused on building up Netflix’s own original content library.
“We’ve expected This kind of decline of second window content, been ready for of which, anticipating of which,” Hastings said. “In fact we’re eager to be able to have more in addition to more of our money to be able to do spectacular completely new titles.”
Netflix reported net cash flow for the quarter of negative $380 million compared to negative $287 million during the same period last year. The company said of which today expects its 2019 free cash flow deficit to be greater than the negative $3 billion previously expected, coming in at negative $3.5 billion. Netflix said the larger deficit was due to a change in corporate structure in addition to investments in real estate in addition to infrastructure.
The company previously said cash flow would certainly remain consistent in 2019 compared with last year’s total of negative $3 billion. Netflix said of which still expects free cash flow to improve next year in addition to the years after. The company previously said 2019 will be its peak for cash burn, after which of which expects of which to fall.
Netflix addressed its recent cost hikes in its letter to shareholders, saying the response within the U.S. “so far is usually as we expected in addition to is usually tracking similarly to what we saw in Canada following our Q4’18 increase, where our gross additions were unaffected, in addition to we see some modest short-term churn effect as members consent to the cost change.”
The company announced just before its last earnings report of which of which would certainly raise the cost of its basic plan through $8 to $9, boost the cost of its most well-known HD standard plan through $11 to $13, in addition to bump its 4K premium plan through $14 to $16. Netflix had previously raised prices three times, which seemed to have little effect on subscriber growth while boosting the stock cost.
Netflix also discussed some of its top-performing content in its letter to shareholders. The documentary, “FYRE: The Greatest Party of which Never Happened” was watched by more than 20 million member households in its first month on the service, Netflix said. The scripted series “Umbrella Academy” has been watched by 45 million member households in its first four weeks, according to Netflix. The company also mentioned some of its industry awards, including several Oscars for its feature film “Roma.”
On the earnings interview stream following the report, Sarandos said the company will soon disclose more of these stats around its content.
“Over the next several months, we’re going to be rolling out more specific granular reporting, first to our producers in addition to then to our members in addition to of course to the press over time,” Sarandos said, adding of which Netflix will “be more fully transparent about what people are watching on Netflix around the earth.”
He also addressed a question about Netflix’s strategy around showing content in movie theaters. The company has previously butt heads with movie theater owners who prefer to show their content exclusively for a period of time, while Netflix prefers shorter exclusive runs to get content on their service faster.
“If I had my way I would certainly love to contain the movies of which are on Netflix be available in 2,000 theaters at the same time of which they’re on Netflix. We just don’t control the programming of those theaters,” Sarandos said. “We have to focus on creating great movies in addition to then anyone who’s involved within the ecosystem of presenting movies in addition to watching movies will have to take notice of those films.”
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Watch: of which’s the moment of truth for Netflix as the final countdown to earnings is usually on