quarterly earnings
Latest
Is Netflix a better indicator of Blu-ray's success than Nielsen?
During a recent earning call, Netflix CEO Reed Hastings said that about 500,000 subscribers would be paying the new $1 Blu-ray fee. This is about six percent of Netflix's customers -- up from one percent 18 months ago -- and a number we're actually surprised with. The reason why we find it surprisingly low is because according to the Nielsen VideoScan numbers, Blu-ray sales have managed to steal away closer to 10 or 12 percent from DVD and we just figured there were more renters than buyers. The apparently incorrect reasoning was simple, it is a new format and renting is a the safer bet. Because as in any packaged media ecosystem, you spend way more money on the discs than on the player and we assumed consumers we're hedging their bets by renting. So while the so called Netflix effect isn't there, these numbers do show us some insight to the Blu-ray customer base, and we'll be looking forward to the next Netflix earnings call for indications of Blu-ray growth. [Via Format War Central]
Netflix sees 30% rise in profit, expects 500,000 Blu-ray subscribers
The current marketplace as a whole may be shaky, but while others are hanging their heads as they mumble about Q3 downfalls, Netflix is grinning from ear-to-ear. Citing lower subscriber costs, the rental outfit proudly announced a 30% increase in profits today while slightly reducing its Q4 revenue estimate. During Q3 2008, the company earned $20.4 million compared with $15.6 million a year ago while revenue rose from $294 million to $341.4 million. In related news, it also said that it "expects about 500,000 of its 8.7 million subscribers [to] be Blu-ray subscribers in the current quarter," meaning that around 5.7% of its customers would be voluntarily paying the $1 monthly premium to keep BD flicks coming. Good on you, Netflix.[Image courtesy of Flickr]Read - Netflix quarterly earningsRead - Netflix Blu-ray subscribers
NTT DoCoMo posts 41% profit increase on reduced handset subsidies
Go 'head with your bad self, NTT DoCoMo. Party on down 'til six in the morning, because you just posted a quarterly profit increase of 41%. What's to thank for such a remarkable boost? According to a Bloomberg report, the outfit's decision to "reduce handset subsidies to customers" enabled it to bring in more cash despite the fact that sales fell 1.1% in the same quarter. President Ryuji Yamada proclaimed that the "acceptance of the monthly handset payment plan by our users helped bolster profits in the quarter," and he also highlighted a "considerable decline in the cancellation ratio." Still, some analysts are uncertain if the telecom company can maintain the growth, with Deutsche Bank AG's Kenji Nishimura stating that the "increase in profit was merely caused by the change in the accounting." Snap DoCoMo, are you just going to take that?[Via mocoNews, image courtesy of Flickr]
Apple announces third-quarter earnings call
Once again, it's that time of year when tourists flock to the beaches, students leave their books behind and Apple executives describe how they've made much more money than the rest of us.Earlier this week, Apple announced that their third-quarter earnings call will take place on July 21, 2008, at 2 p.m. Pacific time. It's been an up-and-down quarter for Apple's stock. It should also be noted that this will be the first report to contain information on sales of the iPhone 3G, assuming they do go on sale on July 11th without a glitch.We'll be live blogging the call, so be sure and check back on the 21st. See you then!
