Netflix Q3 revenues increase
The company's GAAP net income was $15.7 million, or $0.23 per diluted share, compared to GAAP net income of $12.8 million, or $0.18 per diluted share, for the prior year. The non-GAAP net income was $17.6 million, or $0.26 per diluted share, compared to non-GAAP net income of $14.6 million, or $0.21 per diluted share for the same period last year. The gross margin was 33.9%, compared to 38% for the prior year. Reed Hastings, co-founder and CEO of Netflix, said: "In the third quarter, we remained focused on the fundamentals: improving our service quality and value for our subscribers. Our results exceeded our guidance for all of our key metrics - subscriber growth, revenue and net income - demonstrating the advantages of our product and service quality, our strong brand, and our high levels of customer satisfaction. Going forward we will remain focused on making our core service even better and growing our online DVD rental business, while continuing to invest in our internet delivery initiatives."