Rise in subscribers help boost Netflix's profit by 4%

By Michael Liedtke, Associated Press SAN FRANCISCO — Netflix's (NFLX) second-quarter profit crept up 4%, beating analyst expectations as the online DVD rental leader signed up 168,000 new customers while spending less money to attract them to the service. The Los Gatos, Calif.-based company said Friday that it earned $26.6 million, or 42 cents a share, from April through June, up from $25.6 million, or 37 cents a share, in the same period a year ago. The average earnings estimate among analysts surveyed by Thomson Financial was 40 cents a share. Revenue climbed 11% to $337.6 million to match analyst estimates. Netflix shares were up 73 cents, or 2.7%, to $27.45 at midday trading. The company ended June with 8.4 million subscribers, and probably would have had even more if it had advertised its service as vigorously as it... [read full story]