Wednesday's Headlines: Netflix Releases Its Global Figures
1. FedEx stock was down nearly 7% in after-hours trading last night after the shipping giant posted weaker-than-expected earnings for the last quarter. Both profit and revenue came in below analyst expectations for the period, with revenue actually down close to 3% from the same time last year. Worryingly, FedEx management also lowered its full-year outlook due to weakening global economic conditions and the loss of business from “a large customer” — presumably Amazon. Read more on this here.
2. The global car industry looks set for a massive shake-up as two of Europe's largest car manufacturers — Fiat Chrysler and PSA — reached a binding agreement for a $50 billion merger. This 50/50 all-stock deal will see the two companies combine to create the world's fourth-largest automaker at a time where intense pressure on the industry is forcing companies to look for ways to cut costs and innovate. The deal is expected to face some kickback from labor unions in France and Italy where both companies are primarily based, but the firms said in a statement today that they expect the deal to close in the next 12 to 15 months. Read more about this here.
3. And finally, Netflix stock received a marginal bump yesterday after the company revealed the figures behind its global growth for the first time. In the filing, we could see that the subscriber base in Europe, the Middle East, and Africa jumped more than 140% between March 2017 and September 2019, while Asia has seen growth of well over 200% in the same tie period. To get a fuller picture of what this means for Netflix, check out this article we've written on it here.