By Anya George Tharakan and Lisa Richwine
(Reuters) – Streaming video service Netflix Inc forecast U.S. and international subscriptions would grow at a slower pace than Wall Street expected this quarter, sending its shares tumbling 8 percent in after-hours trading on Monday.
Netflix said it expected to add about 500,000 customers in the United States in the second quarter that ends in June, compared with Wall Street targets of 586,000, according to FactSet StreetAccount. The forecast includes a “modest impact” from the beginning of a price increase for its monthly movie and TV subscription service, the company said.
The company known for its original shows including “Orange is the New Black” and “House of Cards” said it expected to add about 2 million subscribers in markets outside the United States, versus analyst expectations of 3.5 million, according to FactSet. It also reported results for the first quarter, when subscriptions outpaced its own target.
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