Netflix has reported its fourth-quarter earnings, exceeding Wall Street expectations.
The streaming company added 13.1 million subscribers during the quarter, surpassing projections of 8 million to 9 million. This brings Netflix's total paid subscribers to a new record of 260.8 million.
Revenue reached $8.83 billion, beating the anticipated $8.72 billion, with earnings reaching $2.11 per share, slightly below the expected $2.22 per share.
Netflix's net income for the fourth quarter was $937.8 million.
Netflix's advertising-based plan, priced at $6.99 per month, attracted more than 23 million global monthly active users, signaling growth in the ad-supported space.
For the full year 2023, Netflix generated $7 billion of operating income, achieving a 23% YoY increase, and an operating margin of 21%, exceeding the 18%-20% forecast.
The company increased its 2024 full-year operating margin forecast to 24%, up from the previous range of 22% to 23%, with earnings per share of $4.49 for the fiscal first quarter of 2024, higher than the Wall Street expectation of $4.10.
Netflix 🤝 WWE
Netflix has secured exclusive streaming rights for WWE Raw beginning January 2025 In a $5 billion deal for 10 years. Under this partnership between Netflix and TKO, formed after the WWE merged with UFC, all WWE shows and specials, including SmackDown and NXT, as well as premium live events such as WrestleMania, SummerSlam, and Royal Rumble will be streamed on Netflix internationally outside the U.S.
Peacock will remain the U.S. home for WWE premium events until 2026, while SmackDown moves to the USA Network, and WWE NXT debuts on The CW later in the year.
Raw is currently the most-watched show on the USA Network, attracting 17.5 million unique viewers annually.
Dwayne "The Rock" Johnson has joined the board of directors of TKO and has given TKO stock worth $30 Million with the full ownership of “The Rock” trademark.
$3.2 Million Cryptocurrency Scheme
A Colorado-based online pastor, Eli Regalado, and his wife, Kaitlyn Regalado, are facing fraud charges for their involvement in a cryptocurrency scheme, including a token called INDXcoin that allegedly defrauded investors of over $3.2 million.
The couple raised nearly $3.2 million from over 300 individuals within the Christian community, primarily through their online-only church, Victorious Grace Church, and the online cryptocurrency platform they created, Kingdom Wealth Exchange (KWE).
Eli Regalado admitted in a video address that $1.3 million of the raised funds went into his pockets, with part of it used for a home remodel. He also claimed that God had spoken to him, instructing, "I want you to build this."
The couple is set to appear in Denver District Court on January 29, 2024.
France Fines Amazon
France's data protection watchdog, CNIL, has fined Amazon €32 million for what it deemed "excessively intrusive" surveillance of its workers, breaching their rights.
CNIL found that Amazon's French unit implemented a monitoring system that recorded workers' activities through handheld scanners. This system aimed to track the duration of tasks in real time, leading to meticulous monitoring and potential justifications required for breaks.
The fine amounts to about 3% of Amazon France Logistique's 2021 annual revenue, which was €1.1 billion.
Amazon responded by disagreeing with CNIL's conclusions, deeming them "factually incorrect" and said that its warehouse management systems were industry-standard practices, crucial for ensuring safety, quality, and operational efficiency.
Old Offices Transform into Homes
From 2021 to the present year, the number of apartments scheduled for conversion from old office spaces has skyrocketed.
The conversion of old office buildings into apartments is increasing, with over 55,000 new units expected in 2024, a quadruple increase from 2021 of 12,100 units.
The $150 billion in office mortgages due by 2024 present an opportunity for developers to repurpose aging office structures into residential hubs.
Washington, D.C., leads the transformation with plans to convert 5,820 units, followed by New York and Dallas as major contributors to this urban evolution.
Selected offices for makeovers are newer, averaging 72 years, 20 years younger than those already converted.
Moody's Analytics Unearths Shell Company Red Flags
Moody's Analytics recently revealed alarming findings associated with shell companies, potentially facilitating financial crimes.
Over 2,200 companies listed directors aged 123 years or older, surpassing the oldest known human age of 122.
One listed director claimed to be 942 years old, suggesting birth in the 11th century.
Address irregularities have been found, with 22,000 companies listing their official address at the pyramids in Egypt.
Over 4,000 directors were listed as younger than five years old.
Moody's emphasizes that while shell companies may serve legitimate purposes, their opaqueness often conceals illicit financial activities, with an estimated $1.6 trillion laundered annually.
The study examined 472 million companies, with the UK leading in shell company risks with 5 million flags. China followed closely with 3.4 million flags, and the US had over 1.25 million flags related to financial anomalies.
One case is a China-based textile manufacturer reporting over $2 billion in revenues in 2019 with just one employee and an individual holding 5,751 roles in 2,883 entities.
21 million "red flags," were identified ranging from ancient directors to suspicious addresses, combating fraud, money laundering, and tax evasion.