04:45 PM EDT, 07/18/2024 (MT Newswires) -- Netflix ( NFLX ) late Thursday reported stronger-than-expected second-quarter results as the streaming giant's membership growth surpassed Wall Street's expectations.

Revenue increased 17% year-over-year to $9.56 billion, topping the consensus on Capital IQ for $9.53 billion. Per-share earnings rose to $4.88 from $3.29 a year earlier, higher than the Street's $4.74 view.

Netflix ( NFLX ) said in a letter to shareholders that its global paid net additions advanced to 8.05 million in the second quarter from 5.89 million a year earlier. The consensus on Visible Alpha was for a 5.1 million increase.

"Ads tier membership grew 34% quarter on quarter, and we're building an in-house ad tech platform that we'll test in Canada in 2024 and launch more broadly in 2025," the streaming service said.

The company projects third-quarter revenue rising 14% year-over-year to $9.73 billion, trailing analysts' $9.81 billion estimate on Capital IQ. Netflix ( NFLX ) projects net subscriber additions to be down from the year-ago period, which had the first full quarter impact from the paid-sharing initiative.

Revenue growth this year is now forecast at 14% to 15%, lifting the bottom end of its prior guidance from 13%. The updated forecast reflects "solid membership growth trends and business momentum," partially offset by a stronger US dollar, according to Netflix ( NFLX ).

The streamer raised its 2024 operating margin outlook to 26% from 25% due to the improved revenue outlook and expense discipline.

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