Netflix Inc.’s U.S. and international subscription additions in the second quarter fell short of analysts’ expectations as price hikes for its video streaming service put off customers. Shares in the post market dove 15 per cent.
The company said on Monday it added 1.52 million subscribers in its international markets, compared with the average analyst estimate of 2.1 million.
Netflix, whose popular original shows include Orange is the New Black andHouse of Cards, said it added 160,000 subscribers in the United States in the quarter, compared with the estimate of 532,000, according to research firm FactSet StreetAccount.
The company had forecast in April that subscriptions would increase by 500,000 in the United States and two million internationally in the second quarter.
Total streaming revenue rose to $1.97-billion (U.S.) in the second quarter from $1.48-billion a year earlier.
