FILE PHOTO: The Netflix logo is seen on their office in Hollywood, Los Angeles, California, U.S. July 16, 2018. REUTERS/Lucy Nicholson
(Reuters) – Streaming giant Netflix (NFLX.O) is accelerating its growth overseas, with its Asia-Pacific business recording the biggest membership and revenue gains among all regions over the past three years.
In an 8-K filed on Monday, the company provided details on its international business ahead of its January fourth-quarter earnings report, which will disclose revenue and membership by region for the first time.
Netflix provided a benchmark for investors, releasing historical streaming revenue, membership and average revenue per paying streaming membership by region for each quarter of 2017 and 2018; for the first three quarters of 2019; and for the twelve-month periods ended Dec. 31, 2017 and 2018 and the nine-month period ended Sept. 30, 2019.
In the Asia-Pacific region – the company’s smallest – revenue was up 153% from the end of the third quarter of 2017 to the end of the third quarter of 2019. Membership grew 148% in the period.
Growth in Europe, the Middle East and Africa also accelerated. Membership in the region increased 132% from the end of the third quarter of 2017 to the end of the third quarter of 2019, and membership revenue increased 105% in the period.
In Latin America, where the company says it is in 33% of broadband homes, streaming revenue increased 71% from the end of the third quarter of 2017 to the end of the third quarter of 2019. Membership in the period grew 61%.
Netflix is focusing on its international business as the streaming landscape becomes more crowded, with Walt Disney Co’s (DIS.N) Disney+ and Apple’s (AAPL.O) Apple TV+ entering the market and two other services – HBO Max, from AT&T-owned (T.N) WarnerMedia, and Comcast-owned (CMCSA.O) NBCUniversal’s Peacock – set to launch next year.
Reporting by Helen Coster; Editing by Dan Grebler