Netflix reported a significant surge in fourth-quarter sign-ups, surpassing expectations by adding over 13 million subscribers, outperforming the anticipated 8.7 million. The growth was particularly robust internationally, with Europe and Asia contributing substantially to the uptick. This surge propelled Netflix's total subscribers to a record-breaking 260.3 million, prompting a more than 7% increase in its stock during after-hours trading. In response to the dynamic landscape, Netflix implemented various strategies to boost subscribers, including a crackdown on password sharing, leading to more than 23 million monthly memberships for its advertising-supported subscription tier priced at $6.99.

The streaming giant also expressed optimism about its advertising business, with co-CEO Greg Peters emphasizing their engaged audience's potential to attract ad dollars away from traditional TV competitors. Despite a fourth-quarter revenue of $8.8 billion, the company fell short of Wall Street's earnings-per-share expectations at $2.11. Looking ahead to 2024, Netflix envisions significant opportunities to enhance its core content, expand into gaming, live entertainment, and sports programming. Recently securing exclusive rights to broadcast "WWE Raw" for a 10-year deal exceeding $5 billion, Netflix continues to diversify its offerings. The company also plans to experiment with live awards show content and dismisses any speculation about entering the traditional cable TV space.