Netflix recently celebrated a monumental achievement by surpassing the 300 million subscriber mark, a testament to its robust growth in the streaming industry. In its full year 2024 earnings report, the company disclosed that it concluded the fiscal year with an impressive 302 million paid subscribers. This growth was highlighted by a record-breaking addition of 19 million subscribers in the fourth quarter alone, culminating in a total of 41 million new subscribers for the year. This marks the final quarter where Netflix will publicly report subscriber growth, though the company intends to continue sharing updates on paid memberships when significant milestones are reached.

However, alongside this success, Netflix announced another round of price increases across most of its plans in the U.S., Canada, Portugal, and Argentina. This decision comes just over a year after the last price adjustment in 2023, continuing a trend of annual price hikes that began in 2014. In its letter to shareholders, Netflix justified the price increase by emphasizing ongoing investments in programming and the commitment to enhancing member value. "As we continue to invest in programming and deliver more value for our members, we will occasionally ask our members to pay a little more so that we can re-invest to further improve Netflix," the company stated. These adjustments were already factored into the 2025 guidance provided in October 2024.

While specific details on the new pricing were not disclosed in the shareholder letter, reports from The Wall Street Journal and Bloomberg indicate that the ad-supported tier will increase from $6.99 to $7.99 per month, the standard ad-free plan will rise from $15.49 to $17.99 per month, and the premium tier will go from $22.99 to $24.99 per month. Additionally, Netflix introduced a new "extra member with ads" plan, allowing individuals on an ad-supported plan to add someone outside their household for an extra fee, a feature previously exclusive to standard and premium plans.

Financially, Netflix reported a 16% year-over-year increase in quarterly revenue, reaching $10.2 billion, and a similar annual revenue growth to $39 billion. Looking ahead, the company projects a year-over-year growth between 12% and 14% for 2025.