In its second-largest acquisition, Amazon buys the company for $970 million.
The online video service rebounds from its fall fiasco.
Netflix Inc.’s sales and subscriber growth are back on track, but fourth quarter net income took a hit.
For the fiscal year ended Dec. 31, 2011, Netflix, No. 13 in the Internet Retailer Top 500 Guide, reported:
- Total revenue increased by 45.5% to $3.2 billion from about $2.2 billion in 2010.
- Net income was $231.6 million, a 44.0% increase from net income of $160.9 million last year.
- Subscribers increased by 25.1% to 24.4 million from 19.5 million.
Subscriber numbers were nearly back to the 24.6 million level at June 30, just before the company announced a significant price increase during the summer that cost it 3.3% of its subscribers in the third quarter.
Netflix also reported domestic streaming membership in the fourth quarter grew faster than expected, reaching 21.67 million, an increase of about 220,000 members from 21.45 million at the end of the third quarter, the company says.
For the fourth quarter of 2011, Netflix reported:
- Sales of $875.6 million, an increase of about 47% from $595.9 million in the prior year quarter.
- Net income was $40.7 million, a 13.6% decrease compared with net income of $47.1 million for Q4 of 2011.