Netflix adds 2 million more subscribers, turns surprise profit

Rumors of Netflix’s (NFLX) unprofitability have been widely exaggerated, as the company on Wednesday reported a profit of $0.13 per share on revenues of $945 million in the fourth quarter of 2012 while also adding 2 million new subscribers. Netflix’s earnings were a pleasant surprise for the subscription-based content distributor, which was expected to post a quarterly loss of $0.12 per share. What’s more, the firm’s 2 million new subscribers represent nearly a ten-fold increase from the fourth quarter of 2011, when it added just 220,000 new subscribers.