NETFLIX NET LOSS
I'm no expert at reading into quarterly reports, but I always find it intriguing when a company announcing it's losing money is taken as a positive sign. Netlix, my preferred online DVD rental service, reported earnings today and the news was good. For the quarter, the company had a net loss of $4.5 million, or 20 cents a share. That compared to a net loss of $4.5 million in the first quarter last year, but a loss of $2.20 a share. What confuses me is the profit figure of $31,000. How can a company operate at a net loss and make a profit? All that doesn't sound so good on the surface, but the numbers show that the company is showing outstanding growth at a faster rate than expected. I'm a huge fan of the service, which allows me to rent 3 movies at a time from my online rental queue, and I can rent as many movies as I want for 20 bucks a month. The postage is paid and the turnaround is a lightning fast three days. I'm catching up on all kinds of old movies -- foreign films, musicals, classics, new releases -- and I always have something on hand that I want to watch. The best part is that since I've been using Netflix I haven't set foot in a Blockbuster Video store. Take that, you evil corporate bastards!