Netflix CEO says higher-priced plans are on the way

The company acquired 3.3 million new global subscribers during the second quarter of 2015, with an increase of 900,000 domestic users and a whopping 2.4 million subscribers overseas.

The execs said US revenue growth also was driven by a 5% year-over-year increase in average selling price, as new subscribers opted for Netflix’s $8.99-per-month two-stream plan.

“Our DVD-by-mail business in the U.S. continues to serve 5.3 million members and provided $77.9 million in contribution profit in Q2”, the letter said.

“We’re pleased to see the growing momentum of our original programming driving strong growth in the USA and overseas”, said Hastings and Wells in a letter to shareholders, summarising Netflix’s Q2 results. The company added 1.7 million customers in 2014’s second quarter. The company operated in more than 50 nations today. To amp up the pace, Netflix is expanding overseas and spending more attention on splashy original programs, including “House of Cards” and “Orange Is the New Black“.

Along with investing in supporting more languages and show libraries tailored to various markets, Netflix is making a priority of optimizing its service on mobile devices since they are the main tools for accessing the Internet in emerging markets, according to the company.

Netflix will move into Spain, Italy and Portugal in the fourth quarter. Netflix reported net income of $26.3 million, versus $71.0 million in Q2 2014.

The provider confirmed it is continuing to “explore options” in China.

On a conference call on Wednesday, Hastings was asked if the company might miss its target for completing a global rollout in all of its new markets by the end of next year.

Earlier Wednesday, Netflix disclosed in an FCC filing that it will support Charter Communications’ bid for Time Warner Cable, given that Charter has pledged not to charge content companies interconnection fees through at least the end of 2018.

“We hope to open the entire rest of the world in 2016”, Mr. Hastings said during an earnings interview broadcast at YouTube, noting that China remained uncertain.

Netflix is awesome but you’ll have to pay more for it in the future.