04:52 PM EST, 01/21/2025 (MT Newswires) -- Netflix's ( NFLX ) fourth-quarter results exceeded estimates as the streaming giant reported a record addition of new subscribers.

Revenue increased 16% year-over-year to $10.25 billion, topping the consensus on FactSet for $10.11 billion. Per-share earnings climbed to $4.27 from $2.11 a year earlier, higher than the Street's $4.21 GAAP view.

Netflix's ( NFLX ) global paid net additions totaled 18.91 million in the fourth quarter, well above consensus of 10.18 million. The company a year earlier reported net additions of 13.12 million.

Netflix's ( NFLX ) shares were up 13% in after-hours trade.

"Membership growth was driven by broad strength across our content slate, improved product/market fit across all regions and typical (fourth-quarter) seasonality," the streaming service said in a letter to shareholders.

The company said that growing advertising revenue will be a "top priority" in 2025. Having launched a first party ad tech platform in Canada late last year, Netflix ( NFLX ) plans to roll out a similar platform in the remaining ads countries in 2025, starting with the US in April.

"As we continue to invest in programming and deliver more value for our members, we will occasionally ask our members to pay a little more so that we can re-invest to further improve Netflix ( NFLX )," the company said. "To that end, we are adjusting prices today across most plans in the US, Canada, Portugal and Argentina (which was already factored into the 2025 guidance we provided in October 2024)."

For 2025, the streamer now forecasts revenue to grow 12% to 14% year-over-year, reaching $43.5 billion to $44.5 billion. That outlook reflects a $500 million increase from the prior range and compares with analysts' $43.65 billion estimate on FactSet.

The company projects first-quarter revenue rising 11% year-over-year to $10.42 billion, falling short of analysts' $10.49 billion estimate. Netflix ( NFLX ) said it will no longer report paid memberships beginning with its first-quarter earnings report in April.

Netflix ( NFLX ) plans to grow into new areas like live programming and games.

"Our business remains intensely competitive with many formidable competitors across traditional entertainment and big tech," the company said. "We're fortunate that we don't have distractions like managing declining linear networks and, with our focus and continued investment, we have good and improving product/market fit around the world."