The company and investors were forecasting a loss due to increased royalty fees and international expansion.
Instead, the company more than topped expectations and posted a profit. It was a small profit, but money in the bank nonetheless, $8 million, with fourth quarter revenue reaching $945 million, well above forecasts of $934 million.
That is not a bad showing for a company that has made a rough ride for itself over the past couple years. We all remember the grand idea in 2011 to split the company into two entities, one for the streaming content and another for the legacy DVD rental. We also remember how that idea was met with the warmth of waiting in line at the DMV. Thankfully, Netflix reevaluated its plan.
