Tomahawk, WI 10/24/2013 (BasicsMedia) – Netflix, Inc. (NASDAQ:NFLX) has been providing subscription services through the Internet where it streams live television shows and movies. The company has been doing this since its incorporation in 1997. Its market cap of $19.57 billion is quite good but nowhere near some of its competitors such as Comcast Corporation, Twenty-First Century, Time Warner Inc, and Inc among others. The company recently released its third quarter results for 2013 and from the figures, I dare say NFLX impressed me by what it posted for this period.

NFLX succeeded where other companies in the industry had failed. It posted results that were a major improved and beyond what analysts had predicted. Analysts had stated that they were expecting NFLX to make revenue of not more than $1.1 billion for this three-month period, which represented earnings of 49 cents a share. NFLX went one better than what analysts had predicted by collecting $1.11 billion as revenue, thus representing earnings of 52 cents for every share held. The difference may seem minimal but for NFLX, it is a massive improvement.

NFLX Posts Increased Revenue and Profits Despite Challenging Year

NFLX has faced numerous challenges in 2013, and most of these have been from cable entertainment providers, who view Netflix as a competitor and want it to be treated as such. The company has not faced gloom only in this quarter of 2013. It has enjoyed a surge in subscription numbers, and this is expected to rise further now that NFLX is on the verge of introducing more original content as part of its package for the entire family. The decision by NFLX to make bids for a number of children shows has the potential of opening up more doors into new markets.

The $1.11 billion revenue that NFLX raised during the third quarter of 2013 is much better and a massive improvement on the $905 million, representing earnings of 13 cents for every share held, it posted during the same period a year ago. From the look of things, NFLX has enjoyed a consistent period of profits from one quarter to the next in the last one year. The revenue and profits are likely to increase even further now that NFLX is set to continue with its expansion programs by including more content that is original as part of its live streaming packages.

NFLX’s Membership Increases By More Than 10 Million

NFLX has seen its membership grow in the last one year from around 30 million in 2012 to more than 40 million in he third quarter of 2013. Some of its products, such as House of Cards, are receiving global recognition, after it was given the Primetime Emmy Award, thus becoming the first Internet TV series to achieve such a feat. Its original series, Orange is the New Black, has continued to enjoy massive critical and popular success across the globe as well. I think these are just a few reasons why NFLX has turned into such a major threat to cable TV providers.

I think NFLX has the potential to continue along the same path of profitability for a sustained period.

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