Streaming giant Netflix 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 December 31, 2017 and 2018 and the nine-month period ended September 30, 2019.
In the Asia-Pacific region - the company's smallest - revenue was up 153 percent from the end of the third quarter of 2017 to the end of the third quarter of 2019. Membership grew 148 percent in the period.
Growth in Europe, the Middle East and Africa also accelerated. Membership in the region increased 132 percent from the end of the third quarter of 2017 to the end of the third quarter of 2019, and membership revenue increased 105 percent in the period.
In Latin America, where the company says it is in 33 percent of broadband homes, streaming revenue increased 71 percent from the end of the third quarter of 2017 to the end of the third quarter of 2019. Membership in the period grew 61 percent.
Netflix is focusing on its international business as the streaming landscape becomes more crowded, with Walt Disney's Disney+ and Apple's Apple TV+ entering the market and two other services - HBO Max, from AT&T-owned WarnerMedia, and Comcast-owned NBCUniversal's Peacock - set to launch next year.
© Thomson Reuters 2019