Netflix’s Success Fueled By ‘Squid Game,’ Revenue Hits $10 Billion

Nigerian Stories On Netflix's Global Top 10

Netflix’s global hit “Squid Game” helped the streaming giant close 2024 on a high note, bringing in record-breaking growth. The company announced on Tuesday that it added nearly 19 million subscribers in the final months of the year, pushing its total subscriber base past 300 million.

For the last quarter of 2024, Netflix reported $1.87 billion in profit and $10.25 billion in revenue, marking a significant double-digit increase compared to the same period the previous year. This impressive performance sent Netflix’s stock price surging over 10% in after-market trading, reaching $960.60 per share.

Momentum Heading Into 2025

“We are starting 2025 with incredible momentum after a record year that saw us add 41 million net subscribers,” Netflix executives shared in a statement to investors. They highlighted Netflix’s leading position in user engagement, noting that members spend an average of two hours daily on the platform. The company also emphasized its strength in revenue and profit within the rapidly growing streaming market.

However, Netflix executives acknowledged fierce competition from both traditional entertainment companies and tech giants. To stay ahead, they plan to focus on enhancing user experience, expanding advertising capabilities, and exploring new ventures such as live programming and gaming.

The Power of ‘Squid Game’

A major driver of Netflix’s success has been the continued popularity of “Squid Game.” The dystopian Korean drama remains the platform’s most-watched series, cementing South Korea’s cultural influence alongside achievements like the Oscar-winning film “Parasite” and global K-pop sensations BTS.

In addition to its captivating content, Netflix has seen a surge in sign-ups for its ad-supported plans, which accounted for over 55% of new subscriptions in regions where they are available. These plans grew by nearly 30% in the last quarter, making the company’s ad business a top priority for 2025.

What’s Next?

Looking ahead, Netflix projects 2025 revenue between $43.5 billion and $44.5 billion, with a healthy operating margin target of 29%. Upcoming content includes new seasons of hits like “Squid Game,” “Wednesday,” and “Stranger Things.” The United States audience will also enjoy 52 weeks of WWE programming and the return of NFL games on Christmas Day.

Netflix has even partnered with former rivals such as Peacock and Apple TV to offer bundled subscription packages, aiming to further solidify its dominance in the market.

Challenges for Rivals

Despite Netflix’s triumph, competitors like Disney+ are struggling to catch up. Since its 2019 launch, Disney+ has invested heavily in new content, including its popular Marvel and Star Wars franchises, but has yet to match Netflix’s growth. Over the past year, Netflix’s shares have climbed 80%, significantly outpacing the broader stock market.