Netflix value hits $100 billion
January 23, 2018 -- Netflix reported 8.3 million new subscribers in the past three months, sending the streaming giant’s value to over $100 billion for the first time. Netflix made $11.7 billion in 2017, but losses topped $1.9bn.
Growth comes at the cost of investing in TV shows and movies the company makes available to streaming subscribers. Netflix’s free cash flow -- cash from operations minus capital expenditures -- turned negative in the last three years as the company burnt money on programming and international expansion.
Netflix predicts free cash flow will widen to as much as negative $4 billion in 2018, compared with an already stunning negative $1.96bn in 2017.
In total, Netflix plans to invest as much as $8bn in new content this year with Altered Carbon, a science fiction show, and Everything Sucks, a coming-of-age comedy-drama expected to attract new subscribers in 2018.