ITV

Tag: subscribers

  • FY-2015: Time Warner Cable adds net video customers, revenue up 3.9%

    FY-2015: Time Warner Cable adds net video customers, revenue up 3.9%

    BENGALURU: This the first time since 2006 that Time Warner Cable Inc., (TWC) has reported year-over-year nett video subscriber additions. The company closed the year and quarter ended 31 December, 2015 (FY-2015, current year and Q4-2015, current quarter) with 10.821 million video subscribers, 32,000 (0.3 per cent increase) more than the 10.789 million at the close of FY-2014. The additions were made in Q4-2015, when the company added 54,000 subscribers, hence wiping out the fall of 22,000 until 30 September, 2015. In Q4-2015, TWC reported 10.821 million video customers as compared to 10.727 million in Q3-2015 (0.5 per cent increase).

     

    The company closed the current year with 681,000 more customer relationships than in the previous year. Total customer relationships at the end of FY-2015 and Q4-2015 were 15.129 million as compared to 14,511 million (4.3 per cent increase) at the end of FY-2014 and Q4-2015, and 14.929 million (1.3 per cent increase) in the immediate trailing quarter.

     

    Overall revenue and income

     

    The company reported 3.9 per cent growth in revenue in FY-2015 at $23,697 million as compared to $22,812 million in FY-2014. For Q4-2015, TWC reported 4.9 per cent YoY revenue growth at $6,072 million as compared to $5,790 million. Operating income in FY-2015 however declined 8.5 per cent YoY to $4,239 million as compared to $4,632 million in the previous year. Operating Income in the current quarter declined by 8.2 per cent YoY to $1,125 million as compared to $1,226 million.

     

    Company speak

     

    Time Warner Cable chairman and CEO Rob Marcus said, “I’m incredibly proud of everything we achieved this quarter and in 2015. We made our network more reliable, our products more compelling and our customer service better. And, importantly, our subscriber improvement over the last eight quarters, including our record subscriber performance in 2015, has begun to show up in our financial results. As we begin 2016, we intend to continue to improve the customer experience and build value for our shareholders.”

     

    Segment numbers

     

    Residential video: Residential video revenue in the current year declined 0.9 per cent to $9,907 million as compared to $10,002 million in the previous year. Video revenue in Q4-2015 increased 0.3 per cent YoY to $2,471 million as compared to $2,464 million in Q4-2014. Video Subscription numbers have been mentioned above.

     

    High Speed Data: High Speed Data revenue increased 9.3 per cent in FY-2015 to $7,029 million as compared to $6,428 million in FY-2014. For Q4-2015, the segment’s revenue increased 10.6 per cent YOY to $1,819 million as compared to $1,644 million in Q4-2014. High Speed Data subscribers in FY-2015 increased 8.6 per cent to 12.675 million as compared to 11.675 million in FY-2014. QoQ, relationships increased by 2.3 per cent as compared to 12.394 million in Q3-2015.

     

    Voice: Voice revenue declined 0.1 per cent in FY-2015 to $1,931 million as compared to $1,932 million in FY-2014. In Q4-2015, Voice revenue increased 5.7 per cent YoY to $497 million as compared $470 million. Voice subscribers increased 19.6 per cent in FY-2015 to 6.23 million as compared to 5.284 million in FY-2014. QoQ Voice subscribers increased 3.7 per cent in Q4-2015 as compared to 6.093 million in the immediate trailing quarter.

     

    Multi-Play: In FY-2015, while single play customers increased 2.2 per cent to 5.75 million from 5.63 million and triple play customers increased 21.9 per cent to 5.31 million from 4.356 million, double play customers declined 10.1 per cent to 4.067 million from 4.525 million in FY-2014. QoQ, Single play customers increased 0.8 per cent, triple play customers increased four per cent, while double play customers declined 1.2 per cent.

     

    Business Services: Business services contribution to TWC’s revenue increased to 13.9 per cent in FY-2015 from 12.4 per cent in FY-2014. Overall Business Services Revenue (BSR) in the current year increased 15.7 per cent to $3,284 million from $2,838 million in FY-2014. Total revenue in Q4-2015 increased 14.4 per cent YoY to $864 million (18 per cent of overall revenue) as compared to $755 million (16.4 per cent of overall revenue). A major portion (a little less than 50 per cent) of BSR comes from high speed data and almost 90 per cent of TWC’s business services subscribers opting for this service.

  • FY-2015: Time Warner Cable adds net video customers, revenue up 3.9%

    FY-2015: Time Warner Cable adds net video customers, revenue up 3.9%

    BENGALURU: This the first time since 2006 that Time Warner Cable Inc., (TWC) has reported year-over-year nett video subscriber additions. The company closed the year and quarter ended 31 December, 2015 (FY-2015, current year and Q4-2015, current quarter) with 10.821 million video subscribers, 32,000 (0.3 per cent increase) more than the 10.789 million at the close of FY-2014. The additions were made in Q4-2015, when the company added 54,000 subscribers, hence wiping out the fall of 22,000 until 30 September, 2015. In Q4-2015, TWC reported 10.821 million video customers as compared to 10.727 million in Q3-2015 (0.5 per cent increase).

     

    The company closed the current year with 681,000 more customer relationships than in the previous year. Total customer relationships at the end of FY-2015 and Q4-2015 were 15.129 million as compared to 14,511 million (4.3 per cent increase) at the end of FY-2014 and Q4-2015, and 14.929 million (1.3 per cent increase) in the immediate trailing quarter.

     

    Overall revenue and income

     

    The company reported 3.9 per cent growth in revenue in FY-2015 at $23,697 million as compared to $22,812 million in FY-2014. For Q4-2015, TWC reported 4.9 per cent YoY revenue growth at $6,072 million as compared to $5,790 million. Operating income in FY-2015 however declined 8.5 per cent YoY to $4,239 million as compared to $4,632 million in the previous year. Operating Income in the current quarter declined by 8.2 per cent YoY to $1,125 million as compared to $1,226 million.

     

    Company speak

     

    Time Warner Cable chairman and CEO Rob Marcus said, “I’m incredibly proud of everything we achieved this quarter and in 2015. We made our network more reliable, our products more compelling and our customer service better. And, importantly, our subscriber improvement over the last eight quarters, including our record subscriber performance in 2015, has begun to show up in our financial results. As we begin 2016, we intend to continue to improve the customer experience and build value for our shareholders.”

     

    Segment numbers

     

    Residential video: Residential video revenue in the current year declined 0.9 per cent to $9,907 million as compared to $10,002 million in the previous year. Video revenue in Q4-2015 increased 0.3 per cent YoY to $2,471 million as compared to $2,464 million in Q4-2014. Video Subscription numbers have been mentioned above.

     

    High Speed Data: High Speed Data revenue increased 9.3 per cent in FY-2015 to $7,029 million as compared to $6,428 million in FY-2014. For Q4-2015, the segment’s revenue increased 10.6 per cent YOY to $1,819 million as compared to $1,644 million in Q4-2014. High Speed Data subscribers in FY-2015 increased 8.6 per cent to 12.675 million as compared to 11.675 million in FY-2014. QoQ, relationships increased by 2.3 per cent as compared to 12.394 million in Q3-2015.

     

    Voice: Voice revenue declined 0.1 per cent in FY-2015 to $1,931 million as compared to $1,932 million in FY-2014. In Q4-2015, Voice revenue increased 5.7 per cent YoY to $497 million as compared $470 million. Voice subscribers increased 19.6 per cent in FY-2015 to 6.23 million as compared to 5.284 million in FY-2014. QoQ Voice subscribers increased 3.7 per cent in Q4-2015 as compared to 6.093 million in the immediate trailing quarter.

     

    Multi-Play: In FY-2015, while single play customers increased 2.2 per cent to 5.75 million from 5.63 million and triple play customers increased 21.9 per cent to 5.31 million from 4.356 million, double play customers declined 10.1 per cent to 4.067 million from 4.525 million in FY-2014. QoQ, Single play customers increased 0.8 per cent, triple play customers increased four per cent, while double play customers declined 1.2 per cent.

     

    Business Services: Business services contribution to TWC’s revenue increased to 13.9 per cent in FY-2015 from 12.4 per cent in FY-2014. Overall Business Services Revenue (BSR) in the current year increased 15.7 per cent to $3,284 million from $2,838 million in FY-2014. Total revenue in Q4-2015 increased 14.4 per cent YoY to $864 million (18 per cent of overall revenue) as compared to $755 million (16.4 per cent of overall revenue). A major portion (a little less than 50 per cent) of BSR comes from high speed data and almost 90 per cent of TWC’s business services subscribers opting for this service.

  • ErosNow ties up with Ortel for movie streaming service

    ErosNow ties up with Ortel for movie streaming service

    MUMBAI: Eros International’s over the top (OTT) service ErosNow has tied up with multi system operator (MSO) Ortel Communications for a subscription based movie streaming service.

     

    The service will be called Ortel Broadband Movies and will allow Ortel Communications to stream movies from ErosNow’s library to its broadband users, who will be able to access the content across various platforms like TV, laptop, PC, tablet and mobile.

     

    The subscription-based service will be available to all Ortel broadband customers with a one-month free subscription for ErosNow.

     

    Eros Digital CEO Rishika Lulla Singh said, “We are happy to partner with Ortel Communications for providing an uninterrupted movie viewing experience through their extensive reach across these states in India. We aim to maximize our consumer base across various platforms and the association with Ortel further consolidates our goal.”

     

    Ortel Communications president and CEO Bibhu Prasad Rath added, “We are delighted to offer ErosNow broadband movies to our subscribers. It is a unique digital entertainment platform that will help our customers to watch and listen to movies, music and other content in Indian languages. Our superior technology to deliver high speed broadband connection has been possible through implementation of DOCSIS technology.” 

     

    Ortel Communications operates in the states of Odisha, Chhattisgarh, Andhra Pradesh, Madhya Pradesh and West Bengal.

  • No MSO carrying more than 386 TV channels in first quarter of fiscal 2014-15: TRAI

    No MSO carrying more than 386 TV channels in first quarter of fiscal 2014-15: TRAI

    NEW DELHI: The maximum number of TV channels being carried by any reporting multi-system operator in the first quarter ending June 2014 of the current fiscal is 386, according to a report by the Telecom Regulatory Authority of India.

     In conventional analogue form, the maximum number of channels being carried by any reporting MSO is 100.

     There were a total of 186 pay channels as reported by broadcasters for which the wholesale channels rates have been taken on record.

     During the quarter ending June 2014, the distribution of “Fox Sports News” channel was discontinued by the broadcaster.

     Apart from All India Radio, there are 243 private FM Radio stations in operation at the quarter ending June, 2014, according to information supplied by the Information and Broadcasting Ministry.

     TRAI said no new DTH license was issued during the quarter ending June 2014.

     At present apart from the Freedish DTH service of Doordarshan, there are six private DTH Operators. All the six private DTH Operators are offering pay DTH services.

     The total number of registered subscribers and active subscribers being served by these six private DTH operators, as reported to TRAI, are 67.57 million and 38.24 million respectively as on 30 June 2014.

     The total number of Internet subscribers has increased from 251.59 million at the end of Mar-14 to 259.14 million at the end of Jun-14 there has been a quarterly growth of 3.00 per cent. Out of which wired internet subscribers are 18.55 million and wireless internet subscribers are 240.60 million.

     Number of broadband internet subscribers increased from 60.87 million at the end of March to 68.83 million at the end of June with quarter growth of 13.07 per cent.

     The number of narrowband internet subscribers has slightly declined from 190.72 million at the end of March to 190.31 million at the end of June with quarterly growth of -0.21 per cent.

     The license fee increased from Rs 3286 crore for the QE March to Rs 3503 crore for the QE June. The quarterly and the year-on-year (Y-O-Y) growth rates of license fee are 6.62% and 13.30 per cent, respectively in this quarter.

     Access services contributed 78.48  per cent of the total Adjusted Gross Revenue of telecom services. In access services, gross revenue, adjusted gross revenue (AGR), license fee and spectrum usage charges increased by 4.64 per cent, 7.81 per cent, 7.62 per cent and 8.61 per cent,  respectively, whereas Pass Through Charges decreased by 2.96 per cent in QE June.

     

    The Monthly Average Revenue per User (ARPU) for Access Services based on AGR increased from Rs 115.28 in QE March to Rs122.39 in QE June.

     Monthly Average Revenue Per User (ARPU) for GSM service increased by 4.84%, from Rs113 in QE March to Rs 119 in QE June, whereas Y-O-Y increase of 6.72%.

     Prepaid ARPU for GSM service per month increased from Rs 99 in QE March to Rs 104 in QE June, and Postpaid ARPU per month increased from Rs 453 in QE March to Rs 469 in QE June.

     On an all India average, the overall MOU per subscriber per month for GSM service increased by 0.42% from 389 in QE March to Rs 390 in QE June.

    Prepaid MOU per subscriber for GSM service increased from 365 in QE March to 366 in QE June and postpaid MOUs increased from Rs 957 in QE March to Rs 961 in QE June.

     The Monthly ARPU for CDMA full mobility service increased by 6.22%, from Rs 105 in QE March to Rs 112 in QE June. ARPU for CDMA has increased by 13.4% on Y-O-Y basis in this

     

  • Only 70 per cent of the Indian pay-TV market will be digitised by 2023: MPA report

    Only 70 per cent of the Indian pay-TV market will be digitised by 2023: MPA report

    MUMBAI: The process of digitisation in India currently seems to be stuck in limbo. Even with several deadlines being set, the country doesn’t seem to have progressed much even in digital addressable systems (DAS) phase II, let alone phases III and IV. A new report from Media Partners Asia (MPA) has predicted key findings about the cable and DTH industry in India between 2013 and 2023.

     

    It expects the next five years to be a period of robust growth of India’s pay-TV market. MPA projects that the pay TV industry in the country will grow from $7.4 billion in revenue in 2013 to $12.3 billion by 2018.

     

    The growth in revenue will be equal to an average annual growth rate of 11 per cent between the years 2013 to 2018. By 2023, it expects the industry to generate revenues of approximately $ 16.4 billion. The findings by MPA were published in the report ‘India Pay-TV and Broadband-Future Trends’.

     

    The study states that by the end of 2013, India had approximately 65 million paying digital subscribers. MPA projections indicate that only 70 per cent of the Indian pay-TV market will be digitised by 2023.

     

    The total number of TV households in India is currently pegged at around 160 million with nearly 20 million on terrestrial only. This will be the growth opportunity for alternative platforms as cable and DTH will find it unviable to penetrate into the interiors of the country. The Ministry of Information and Broadcasting (MIB) has given a deadline of 31 December 2014 for completion of digitisation. If one goes by the MPA report, India has a long way to go for 100 per cent digitisation.

     

    From 2015 to 2017 will see an upward trend as DAS will take off in phase III and IV areas. After 2017, the time will be for consolidation and monetisation as subscriber growth will decelerate.

     

    While the growth during 2009 to 2013 was driven by volume, the next five years will be led by average revenue per user (ARPU). At the end of the 2018, pay TV subscribers will hit 165 million and by 2023, it will be 180 million. This implies a long term penetration of 80 per cent.

     

    The growth will also give wide space for alternative platforms such as Doordarshan-owned Free Dish, headend-in-the-sky (HITS) and over-the-top media (OTT) apart from cable and DTH, which will address the need gap between TV households and pay TV subscribers.

     

    DTH industry revenues are expected to reach $4 billion by 2018 and $5.5 billion by 2023. This will be due to healthy subscriber additions from 2014 to 2016 and by improved churn and suspension management. The active DTH subscriber base is expected to grow from 37 million in 2013 to 60 million by 2018 and 70 million by 2023. Thus, DTH will have a 39 per cent share of the pay-TV market by 2023 and 56 per cent share of the digital market.

     

    MPA predicts that the total digital cable subscribers will be 50 million by 2018 and 55 million by 2023. Digital cable conversion will shoot up from 29 per cent in 2013 to 48 per cent by 2018 and 50 per cent by 2023. This will enable growth in cable broadband. It expects share of cable in the fixed broadband market to grow from 6 per cent to nearly 15 per cent from 2013 to 2023.

     

    The projected total pay-TV channel revenues for broadcasters, including advertising and subscription will grow from $3.3 billion in 2013 to $6 billion by 2018 and $8.3 billion by 2023.

     

    Meanwhile the pay-TV ad market is expected to grow at 8.6 per cent CAGR over 2013 to 2023 while broadcaster subscription revenues are expected to grow at 11.3 per cent over the same period. This will be due to improved macro-economic conditions, sub-segmentation of existing genres and new advertiser categories.

     

    “The Indian market is important because of its accessibility for global media distributors and investors and its high levels of pay-TV penetration. Ever changing regulations are destabilising but the government’s DAS mandate will be an important catalyst while improved supply side factors, including healthy financial markets and investments from international strategists are also critical,” says MPA India VP Mihir Shah.

  • TRAI: Phase I and II CAF collection nearing completion

    TRAI: Phase I and II CAF collection nearing completion

    MUMBAI: When the entire process of digitisation started in the country, nobody would have thought it would be such a tough nut to crack and there would be a slippage of so many deadlines. Recently, the Telecom Regulatory Authority of India (TRAI) warned the multi-system operators (MSOs) and subscribers in the digital addressable system (DAS) Phase I and II towns that enough was enough and that they had better get going on finishing the task of submitting the Customer Application Forms (CAFs) with two deadlines – on 27 January for 23 cities and on 31 January for eight cities – once again proving elusive.

    The caning seems to have worked well as everything is getting back on track now. A TRAI official informs that the work in the Phase I and II of Digital Addressable System (DAS) is near completion. Cities with 27 January as the deadline – Rajkot, Surat, Vadodara, Faridabad, Mysore, Aurangabad, Nasik, Pimpri-Chinchwad, Pune, Sholapur, Amritsar, Ludhiana, Jaipur, Jodhpur, Agra, Allahabad, Ghaziabad, Kanpur, Lucknow, Meerut, Varanasi, Chandigarh and Howrah – have almost been  100 per cent  penetrated with active set top boxes (STBs). Almost 85 per cent work has been done (as of 29 January) in areas with 31 January as the deadline that includes cities such as Patna, Ahmedabad, Ranchi, Bengaluru, Kalyan-Dombivali, Nagpur, Navi Mumbai and Thane.

    MSOs have been given two to three additional days post the deadline to submit their compliance reports to TRAI.

     

    “We are in touch with the MSOs on a daily basis and nearly 99.7 per cent has been completed as per the deadlines. If subscribers have failed to fill the forms, MSOs have cut off connections, saving TRAI’s time and also saving themselves from any action against them,” informs a TRAI official.

    However, Maharashtra Cable Operators Federation (MCOF) president Arvind Prabhoo says that only 70 to 75 per cent work has been completed in the second deadline areas, while in Navi Mumbai hardly 30- 40 per cent work is done.

    A cable operator from Airoli says, “We had got CAF forms in the beginning till about June last year. After that it stopped coming to us.”

     

    But Siti Cable COO Anil Malhotra says that almost 90 per cent work has been completed and the subscribers who fail to fill the forms by tonight will have to face a TV blackout. “Scrolls have already been running to make them aware about it and thus we are sure that we will reach 100 per cent compliance soon,” he remarks.

     

    Hathway Cable and Datacom CEO Jagdish Kumar claims that in these areas Hathway has reached near about 100 per cent. “By 27 December, almost 90 per cent work was done, while the rest had to face a disconnection. Few customers came back to fill the forms and others switched to DTH,” he says. In the next eight cities, about 80 per cent of forms have been collected and fed into the system.

     

    Another leading MSO, Den Networks is also claiming to have achieved 100 per cent compliance for the two dates. Says Den Networks CEO S N Sharma, “In these cities we have complied fully and sent the report to TRAI. We have data of all subscribers and for those who haven’t sent them, their cable connections have been cut off.”

     

    A bright day for digitisation doesn’t look far if the above numbers are to be believed. While few exceptions are always there, most of the stakeholders are taking it seriously. And if the MSOs continue at the same pace and work towards achieving the goal diligently, by February, the work for phase III and IV will kick off.

  • TRAI gives final deadlines for filling subscriber details in DAS Phase II cities

    TRAI gives final deadlines for filling subscriber details in DAS Phase II cities

    MUMBAI: The Telecom Regulatory Authority of India (TRAI) may have once again extended the rope for stakeholders of digitisation but with a warning that they would get no further extension. In a recently issued notice, fresh and “final” deadlines have been given out for entering the subscriber details in the subscriber management system (SMS) in DAS phase II cities.

     

    The regulator has already given two extensions of the deadlines earlier for collecting customer application forms (CAF) and entry of these details in the SMS. However, this comes as a warning from the regulator. It says that 23 cities (Rajkot, Surat, Vadodara, Faridabad, Mysore, Aurangabad, Nasik, Pimpri-Chinchwad, Pune, Sholapur, Amritsar, Ludhiana, Jaipur, Jodhpur, Agra, Allahabad, Ghaziabad, Kanpur, Lucknow, Meerut, Varanasi, Chandigarh and Howrah) have completed 90 per cent of the task and the MSOs in these cities have been ordered to cut off signals from 27 January to subscribers who haven’t given their CAFs.

     

    7 February is the last date for Bhopal, Indore and Jabalpur in Madhya Pradesh; while Vishakhapatnam and Srinagar have time till 28 February. However, state of Tamil Nadu and Hyderabad city have not been given any date due to litigation processes that are pending regarding DAS.

     

    Eight other cities (Patna, Ahmedabad, Ranchi, Bengaluru, Kalyan-Dombivali, Nagpur, Navi Mumbai and Thane) have been given 31 January as the last date. Subscribers have been requested to cooperate with the process and submit their CAFs, failing which MSOs will have to cut off signals to their TVs or will be in breach of law.

     

    MSOs will have to provide bills with exact breakup of charges and subscribers will have to insist for a bill and receipt or see blackout on their screens.

     

    Click here to read the full notice

  • Chennai Corp cracks the whip on cable TV ops

    Chennai Corp cracks the whip on cable TV ops

    MUMBAI: A major crackdown on cable TV operators is taking place in Chennai. 

     

    The Chennai civic body, The Chennai Corporation has gone on a drive to collect infrastructure usage and registration charges from local cable TV operators in the city.

     

    Sources in Chennai revealed that around 16 companies were given legal status after they coughed up Rs 1 crore to the corporation. Currently, the civic body charges Rs 9,400 per km as infrastructure use rent to cable TV and telecom operators, though a proposal to hike it to Rs 32,000 is pending with the government. 

      

    The Chennai Corporation has been trying to clean up the city and had issued orders to its employees and staff to snap cables of the operators who did not pay up. It expects to collect another Rs 1 crore in the coming week. 

    The civic body is expected to next streamline the way the cables have been strung over head all over Chennai, say officials.

  • DirecTV, Dish Network to hike price

    DirecTV, Dish Network to hike price

    MUMBAI: Dish Network and DirecTV subscribers will have to gear up to shell out more for using their services. Come 2014 and DirecTV’s base ‘entertainment’ package will cost $58 per month, a $3 hike from 2013, the ‘premier’ package will cost $130, up $5 from a year ago. Rising content cost and desire to keep the satellite TV provider’s operating profit flat are being cited as the reason for the price hike.

     

    Dish Network on the other hand will hike its fees by 5.5 per cent. This following its 16.3 per cent price hike in the beginning of 2013. While, the ‘welcome plan’, ‘America’s choice 120+ plan’ will cost the same, the other packs will get a $5 price hike and a $3 hike in the ‘smart pack’ which will cost $33 in 2014.

     

    DirecTV, which has close to 20.16 million US subscribers, according to reports, will increase its price at an average of 3.7 per cent starting February.

     

    Media reports have confirmed that both the companies will raise the prices of their various television packages and also increase the service fees as well.

     

    Can’t say if pay TV service providers are looking at any such New Year surprise for consumers in India, but it surely doesn’t seem to be a happy start to the New Year for DirecTV and Dish Network subscribers in the US.

  • Netflix crosses 40 million subscribers base in Q3

    Netflix crosses 40 million subscribers base in Q3

    MUMBAI: Netflix has announced its third-quarter results. The OTT platform that has added 1.3 million US subscribers-11 per cent higher than the prior year Q3, now has a total US base of 31.09 million subscribers.

    Internationally, net additions were significantly up from the prior year at 1.4 million new members, driven by the company’s expansion to the Nordics and the Netherlands. In addition, there was a surge in low-quality free trials in September in Latin America that temporarily boosted the total member number.

    Together Netflix’ total global base is just over 40 million, a 25 per cent increase year-over-year.

    Netflix expects Q4 net additions to be approximately equal to Q4 of the prior year.

    Revenue-wise the streamer continues to show thinnish margins thanks to the amount that it spends on content acquisition, bringing in $32 million of profit on $1.106 billion revenue. In Q4 it expects to expand its contribution margin about 400 basis points year-over-year to about 23 per cent.

    “That means that sequentially our target contribution margin is slightly down Q3 to Q4,” the company said in its earnings statement. “As a reminder, we shifted our contribution margin target a few months ago from ‘100 basis points of quarterly sequential improvement’ to ‘400 basis points Q over prior year Q’, so we are right on target with our articulated margin growth strategy. Our $7.99 price is working very well for us for both membership growth and contribution margin growth.”

    When it comes to its content strategy, the original series get most of the headlines, but the company said that a bigger percentage of overall Netflix viewing is generated by its exclusive complete season-after series. During the quarter, it launched new seasons of The New Girl, The Walking Dead, Scandal, Breaking Bad, Revolution and Pretty Little Liars.

    However, original content remains a top priority, it said. “Over the next few years we aspire to support creation of some of the most compelling and remarkable content ever produced. Coupled with the flexibility of our internet viewing and power of our personal recommendations we will keep changing television for the better.”

    Orange is the New Black has been a tremendous success for the company and will end the year as its most watched original series ever and, “as with each of our other previously launched originals, enjoys an audience comparable with successful shows on cable and broadcast TV. We have seen sustained social media buzz in the months after its debut and it is also one of the most critically well received TV shows of 2013,” it added.

    In addition to Orange is the New Black, during Q3 Netflix launched the new Ricky Gervais series Derek and broadened its original content offering with the acquisition of stand-up comedy specials from Russell Peters and Aziz Ansari, premiering exclusively on Netflix in October and November, respectively. It also rolled out a second set of episodes of Mako Mermaids, our original series directed at the teen audience, and will soon expand into original documentaries, a category that does well on the Netflix service.

    “This quarter we will premiere our inaugural second season of a Netflix original series with the return of Lilyhammer starring Steven Van Zandt,” the company said. “We will also be launching our first animated original series with Dreamworks Animation, Turbo F.A.S.T.”