In the last quarter, Netflix lost nearly 1 million subscribers, which is an unexpected result since it is expected to decrease by about 2 million.
However, Netflix is expected to add one million subscribers in the next quarter, despite losing some market share.
According to Netflix’s earnings report on Tuesday, it reported approximately $8 billion in revenues (around 451B) for the past quarter.
This significantly improved over the $7.9B (around ₱445B) it said in the previous quarter. Revenue growth, however, is expected to slow in the coming months, according to the company.
According to Netflix, password sharing and stagnant economic growth contributed to the problem. It said it would reduce account sharing, offer a cheaper tier that allows advertising, and improve its subscriber growth.
Currently, the service has nearly 220 million subscribers worldwide.
Netflix is offering ad-supported subscriptions and more affordable options to win back subscribers. Before expanding to other regions, Netflix will likely start with a few markets offering its ad-supported plan.