Next week for stocks: Netflix’s most significant earnings report comes
The broadcast giant will report its second-quarter earnings on Tuesday, and it’s shaping up to be one of the most significant moments in the company’s 25-year history. Whatever happens on Tuesday could reshape the future of the company as well as the entire broadcasting industry. As with Netflix, streaming goes. “There would be hell to be paid if they reported a figure much higher than the $2 million loss,” Andrew Hare, vice president of research at Magid, told CNN Business. Hare noted that the live broadcasting market has matured and is saturated. So investors will ask: “What’s next and where will the growth come from?” Netflix is pinning its hopes on a potential savior: advertising. The company announced Wednesday that it will partner with Microsoft on a new, cheaper, ad-supported subscription plan. Although Netflix CEO Reed Hastings has been allergic to the idea for years, the announcement is now a major part of Netflix’s plans to increase revenue in the future. The new tier is said to come before the end of 2022, but Netflix admits that its budding advertising business is in its ‘early days’.
Next week for stocks: Netflix’s most significant earnings report comes
The broadcast giant will report its second-quarter earnings on Tuesday, and it’s shaping up to be one of the most significant moments in the company’s 25-year history. Whatever happens on Tuesday could reshape the future of the company as well as the entire broadcasting industry. As with Netflix, streaming goes. “There would be hell to be paid if they reported a figure much higher than the $2 million loss,” Andrew Hare, vice president of research at Magid, told CNN Business. Hare noted that the live broadcasting market has matured and is saturated. So investors will ask: “What’s next and where will the growth come from?” Netflix is pinning its hopes on a potential savior: advertising. The company announced Wednesday that it will partner with Microsoft on a new, cheaper, ad-supported subscription plan. Although Netflix CEO Reed Hastings has been allergic to the idea for years, the announcement is now a major part of Netflix’s plans to increase revenue in the future. The new tier is said to come before the end of 2022, but Netflix admits that its budding advertising business is in its ‘early days’.