Quickflix says it is continuing to invest in new content and integration of its pay-per-view and subscription streaming service to new consumer devices, while “transitioning from the heavy emphasis on capital intensive technology” to its unprofitable postal online DVD rental service.
In a statement to the ASX, the company said that “paying customers” grew by 7% during the quarter, finishing at 119,593, while the total customer base increased by 9% to 129,274. So nearly 10,000 customers aren’t paying Quickflix anything. Good work if you can get it. Revenue increased 4% to $5.3 million, modest for a public company.
New streaming content including latest release movies from agreements announced with Disney, Starz and independent studio, as well as the launch of kids’ content during the quarter, added to Quickflix’x increasing roster of movies and TV shows, and resulted in streaming customers increasing by 30%.
Quickflix is leading Australia’s charge to OTT (Over the Top) video streaming. The publicly listed company started out as a video rental operation, and has yet to make a profit, but is aggressively pursuing content and online streaming deals. The strategy appears to be working, as Internet TV takes hold in Australia.
