Netflix hits Q4 subscriber peak with ‘The Crown’ and ‘The Killer’ and crackdown on account sharing

  • Netflix’s Q4 report boasts record-breaking subscriber growth, with 13.12 million additions, surpassing revenue expectations at $88.3 billion.
  • The streaming giant, deemed victorious in the streaming war by analysts, attributes success to a strong content lineup, including hits like “The Crown” and “The Killer”.
  • Netflix plans aggressive expansion in 2024, focusing on double-digit revenue growth, investing in content like a $5 billion WWE deal, and eyeing a shift to ad-supported models by 2025.

Netflix‘s Q4 earnings report, released after Tuesday’s closing, reveals record-breaking subscriber growth, beating revenue and Q1 EPS expectations, leading to an 8.7% surge in Netflix stock. Analysts declare Netflix victorious in the streaming war, driven by a robust content line-up, including the final season of “The Crown” and David Fincher’s original film “The Killer.”

Netflix’s Q4 report reveals record-breaking subscriber growth

With an unprecedented 13.12 million new subscribers in Q4, Netflix’s total subscriber base reaches 260 million. While Q4 revenue surpassed estimates at $88.3 billion, EPS of $2.11 fell short of the expected $2.22, attributed to a non-cash loss of $239 million due to exchange rate fluctuations. Netflix achieved a third-highest recorded quarterly free cash flow of $1.6 billion in Q4, contrasting with $332 million in the same period last year.

The company reported a net cash provided by operating activities of $7.3 billion for the full year 2023, compared to $2 billion in 2022, and a total free cash flow of $6.9 billion, up from $1.6 billion in 2022. Projecting double-digit revenue growth for 2024, Netflix plans continued subscriber expansion and ad business investments. Although current revenue primarily comes from ad-free streaming, the company aims to shift this dynamic by 2025, having invested millions in video games and securing a $5 billion deal to broadcast WWE wrestling starting next year.

It is also worth noting that, last April, Netflix implemented its long-anticipated crackdown on password sharing, imposing an additional fee for members sharing accounts beyond their households, a move already initiated in India, a country with millions of subscribers. The strategy, aimed at boosting subscriptions, has undergone trials in select countries and awaits rollout in the UK and US, contributing to enhanced subscriber growth.

Netflix’s streaming dominant position

Netflix attributes its streaming dominance to potent intellectual properties, exemplified by non-English language hits like “Squid Game: The Challenge,” “All the Light We Cannot See,” “Rebel Moon: A Child of Fire,” and the third season of the French series “Lupin.” Despite an anticipated decline in Q1 subscriber growth compared to the robust Q4, Netflix expects continued double-digit revenue growth, partially driven by price increases. With the lowest subscriber churn rate among major streaming services, analysts foresee Netflix’s aggressive anti-password-sharing measures leading to growth in ad-supported subscription packages. The company recently announced an increase in active users for ad-supported subscriptions, reaching 23 million, up from 15 million in November.

Also read: Netflix surges on stellar earnings causing Wall Street buzz


Chloe Chen

Chloe Chen is a junior writer at BTW Media. She graduated from the London School of Economics and Political Science (LSE) and had various working experiences in the finance and fintech industry. Send tips to

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