Netflix Posts Good Earnings in a Sluggish Economy

With a net income of $22.7M, Netflix realizes a jump of 44% higher compared to last year. The Revenues jumped 19% to $359.6M from $302.4M last year in the same period.

There was a time where video games were doing well in a downturn because people needed entertainment and possibly had more time for it. Might this be true for DVD rental (in general) as well? May be, but chances are that rival Blockbuster is still somewhat in troubles and that Netflix’s superior service and operating cost advantage will help it even more in a troubled economy. In hard times, efficiency pays.