This excerpt taken from the NFLX 8-K filed Oct 23, 2006.
GAAP Net Income $12.8 million, up 84 percent year-over-year
LOS GATOS, Calif., October 23, 2006 Netflix, Inc. (Nasdaq: NFLX) today reported results for the third quarter ended September 30, 2006.
In the third quarter, strong results in our key metrics subscriber growth, revenue, net income, gross margin and churn extended our record of outstanding financial and operational performance and, more importantly, demonstrated the power of our business model to deliver exceptional results, said Reed Hastings, Netflix co-founder and chief executive officer. We combine a great customer experience with low operating costs. Thats a powerful formula for success.