DirecTV (NYSE: DTV) continues to provide a useful blueprint for other U.S. media companies looking to expand into Latin America. On Thursday, the satellite TV service provider announced that it had added 590,000 subscribers in the region in the fourth quarter, a performance that drove the company’s impressive earnings report during the period.
In its own fourth-quarter earnings report, Netflix (NSDQ: NFLX) cited DirecTV’s Latin American growth as the model for its own infiltration into the area. And with DirecTV revealing its fourth-quarter earnings Thursday, it’s becoming clear why.
With nearly 7.9 million subscriptions in Latin America—up 36 percent year over year—DirecTV reported a 33 percent bump in revenue in the region to $1.37 billion for the fourth quarter.
Overall, DirecTV beat analysts’ expectations with revenue rising 13 percent to $7.5 billion. Operating income grew 16 percent to $718 million.
The growth came despite disappointing subscriber expansion in the U.S. The company missed projections for U.S. subscriber growth, adding only 125,000 domestic customers during Q4.