Netflix announced on Tuesday that it gained nearly 19 million subscribers during the holiday season, closing 2024 with over 300 million global subscribers. Company executives attributed the growth to consistent investments in original shows and films, while also revealing plans to raise subscription prices in Argentina, Canada, Portugal, and the United States.
“As we continue to invest in programming and deliver more value for our members, we will occasionally ask our members to pay a little more so that we can reinvest and further improve Netflix,” the company explained in a letter to investors.
In the U.S., premium and standard memberships will increase by $2 to $25 and $18 per month, respectively. The ad-supported standard plan will rise by $1 to $8 monthly.
In the final quarter of 2024, Netflix reported $1.87 billion in profit on $10.25 billion in revenue, reflecting double-digit growth compared to the same period the previous year. The company’s stock surged over 14% in after-hours trading, exceeding $993 per share.
“We enter 2025 with strong momentum, following a year of record net additions — 41 million subscribers — and having re-accelerated growth,” executives stated. They emphasized Netflix’s “leadership position” in user engagement, with paid members streaming an average of two hours daily.
Acknowledging the highly competitive landscape of traditional entertainment and big tech, Netflix noted its focus on improving all aspects of the platform. Priorities include expanding content offerings, enhancing the user experience, refining pricing strategies, increasing ad-based revenue, and exploring new ventures like live programming and gaming.
Netflix ended 2024 on a high note with popular releases such as the second season of the global phenomenon Squid Game. The dystopian Korean drama remains the platform’s most-watched series and has been lauded for solidifying South Korea’s cultural influence, alongside the Oscar-winning film Parasite and K-pop icons BTS.
The company revealed that ad-supported plans now account for over 55% of signups in markets where they are available, growing nearly 30% from the previous quarter. Expanding its ad business remains a top priority for 2025.
To fuel growth, Netflix introduced an ad-subsidized tier in late 2023, coinciding with a crackdown on password sharing. Looking ahead, the company anticipates 2025 revenue of $43.5–44.5 billion, targeting a 29% operating margin.
Upcoming highlights include new seasons of Wednesday and Stranger Things, along with exclusive U.S. content such as 52 weeks of WWE programming and the return of NFL games on Christmas Day. Additionally, Netflix has begun offering bundled subscriptions with competitors like Peacock and Apple TV in the U.S.
Despite challenges from rivals like Disney+, Netflix continues to dominate the streaming market. While Disney+ has struggled since its 2019 launch, Netflix shares have soared 80% over the past year, far outpacing the S&P 500 and NASDAQ indices.